Published On: Tue, Nov 18th, 2014

Mubadala GE Capital sells debut bond

Mubadala GE Capital Ltd (MGEC)

Mubadala GE Capital Ltd (MGEC)

On 5 November 2014 Mubadala GE Capital Ltd (MGEC) successfully priced its inaugural 144a bond under its newly established Global Medium Term Note Programme.

The US$500 million tranche has a tenor of five years and a coupon of 3%. Total interest from investors was strong and the issue was well oversubscribed, with orders in excess of $1.3bn, the company said in a press release today.

Holger Laubenthal, CEO of Mubadala GE Capital , said: “This step is consistent with our long-term business strategy and funding plans, and will enable further profitable business growth”.

The transaction achieved broad global distribution with 41% of proceeds sold in North America, 32% in Europe, 25% in the Middle East and 2% in Asia.

Barclays Bank Plc, Citigroup Global Markets Ltd were the global coordinators and Barclays Bank Plc, Citigroup Global Markets Ltd, First Gulf Bank PJSC, HSBC Bank Plc and Natixis Securities Americas LLC have acted as Joint Lead Managers on the issuance.

Mubadala GE Capital is a 50/50 commercial finance joint venture between Mubadala, the Abu Dhabi based investment and development company, and General Electric Capital Corporation. Mubadala GE Capital ‘s management team and principal operations are based in Abu Dhabi.

Mubadala GE Capital is rated Baa2 by Moody’s Investors Service and A by Fitch Ratings; both investment grade ratings have a stable outlook. MGEC’s Bloomberg ticker is MGECJV.

Source : WAM News Agency for United Arab Emirates

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