DUBAI - The Dubai government has unveiled plans to raise 6.5 billion dollars through bonds, Emirates Business 24/7 reported on Monday, citing a prospectus for potential investors.
The borrowing programme will be divided into four billion dollars in a euro medium-term note (EMTN) and a 2.5-billion-dollar Islamic bond issue, or sukuk, Emirates Business said.
The Dubai Government said the new EMTN debt may be listed on the London Stock Exchange (LSE) and the Dubai Financial Market (DFM), the paper said.
The lead arrangers for the EMTN are Mitsubishi UFJ Securities International, Standard Chartered Bank and UBS Investment Bank.
Officials who addressed investors in Dubai on Sunday said the lead managers of the sukuk issue are Dubai Islamic Bank, Mitsubishi UFJ, Standard Chartered and UBS Investment Bank.
"I am sure the issue will get oversubscribed as there are eager investors who want to pick up a portion of the Dubai debt, especially because I am sure it will be issued at a comfortable price," a top foreign bank official told Emirates Business.
He said the documents he received from the issuer said the direct debt of the Dubai government was just over 19 billion dollars.
Dubai in February launched a 20-billion-dollar long-term bond programme to help the once booming Gulf emirate meet its financial obligations, mainly repayment of debt which will mature this year.
Kuwait to post 24 billion-dollar budget surplus