United Arab Shipping Co Considers Debut Bond

Reuters reports that the United Arab Shipping Company (UASC), which is jointly owned by a group of Gulf Arab states and Iraq, has picked banks for investor meetings in advance of a possible bond issue.

Deutsche Bank, Mitsubishi UFJ and UBS will arrange meetings for the company.

Roadshows will begin in Singapore on Thursday, and continue in Hong Kong on Friday, Abu Dhabi and Dubai on Nov. 28 and London on Nov. 29, before concluding in Switzerland on Nov. 30.

A dollar-denominated bond from the company will be the first time it has issued public debt in any currency, a source at one of the lead arrangers told Reuters.

UASC is unrated and will not be seeking a credit rating ahead of any potential issue given its ownership structure — it is owned by the governments of Saudi Arabia, Qatar, Kuwait, United Arab Emirates, Bahrain, as well as Iraq.

The firm signed a $302 million term loan facility in February to back the acquisition of three A13 vessels ordered from Samsung Heavy Industries.

(Source: Reuters)

Comments are closed.