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Sharjah Government issues bonds worth $750 million

Bank of Sharjah has acted as a Joint Lead Manager and Bookrunner in the successful issuance of a US$750 million 12-year U.S. dollar-denominated 144A/Reg S senior unsecured sustainable Bond for the Government of Sharjah, alongside other international and regional banks.

The Bond attracted significant investor interest, evidenced by an order book that exceeded US$ 4 billion, showcasing the robust demand and confidence in the Government of Sharjah’s credit story.

The issuance was priced with a spread of 195 basis points over U.S. Treasuries, significantly tighter than the initial guidance of 235 basis points, reflecting the strong appetite for the government’s credit from the international investors (outside the region) representing 67 percent of total demand.

Upon the successful completion of this transaction, Mohamed Khadiri, CEO of Bank of Sharjah, commented, “We are honoured to have played a pivotal role in this landmark Bond issuance for the Government of Sharjah. Our involvement signifies Bank of Sharjah’s commitment to facilitating strategic, high-quality capital market transactions in the emirate of Sharjah and across the UAE.”

Khadiri further elaborated, “The overwhelming response from investors leading to the tightening of the spread highlights the confidence in Sharjah’s credit and the effective structuring and marketing strategy employed by the Joint Lead Managers. This transaction not only reflects Sharjah’s prudent fiscal management and strong economic fundamentals but also underscores Bank of Sharjah’s expertise in capital markets and its ability to offer bespoke financing solutions and support important clients like the Government of Sharjah.”

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