emirates7 - Abu Dhabi Developmental Holding Company PJSC (ADQ), a prominent sovereign investor specializing in critical infrastructure and global supply chains, has successfully priced a US$2 billion bond, marking its third entry into international debt capital markets. This latest bond issuance supports ADQ’s strategy to diversify its funding sources, with proceeds aimed at fueling growth initiatives and advancing the company’s strategic objectives.
The issuance attracted robust demand from investors seeking high-quality, investment-grade securities from emerging markets. The total order book exceeded US$7 billion, resulting in an oversubscription rate of over 3.5 times, underscoring ADQ’s strong creditworthiness and investor confidence in the resilience of Abu Dhabi’s economy during a period of market uncertainty.
The bond offering consisted of two tranches: a five-year US$1 billion note with an annual coupon of 4.500%, and a ten-year US$1 billion note with a 5.000% coupon. The five-year tranche recorded the lowest yield among non-Sukuk bonds issued in the GCC so far in 2025, while the ten-year tranche achieved the second-lowest yield in its category.
Institutional investors from key regions—including Asia, the US, the Middle East, the UK, and Europe—participated in the issuance. Pricing tightened by 30 basis points from the initial guidance, and the transaction marked ADQ’s highest level of Asian investor participation to date.
Marcos de Quadros, ADQ’s Group Chief Financial Officer, highlighted the success of the issuance, stating, “We are delighted by the strong investor interest and broad geographic distribution across both tranches. This outcome reflects the market’s confidence in ADQ’s financial strength, our strategic role within Abu Dhabi’s economy, and the attractiveness of our bond fundamentals amid current conditions.”
This follows ADQ’s September 2024 dual-tranche bond issuance, which included seven- and thirty-year tenors and saw even stronger demand, with an oversubscription of more than 4.1 times.
As of December 31, 2024, ADQ reported total assets of US$251 billion, supported by a compound annual growth rate of 23% over three years. The company manages a diversified portfolio of over 25 companies across eight economic clusters that span key sectors of Abu Dhabi’s economy.
ADQ holds strong credit ratings of Aa2 from Moody’s and AA from Fitch, both with stable outlooks.
The issuance attracted robust demand from investors seeking high-quality, investment-grade securities from emerging markets. The total order book exceeded US$7 billion, resulting in an oversubscription rate of over 3.5 times, underscoring ADQ’s strong creditworthiness and investor confidence in the resilience of Abu Dhabi’s economy during a period of market uncertainty.
The bond offering consisted of two tranches: a five-year US$1 billion note with an annual coupon of 4.500%, and a ten-year US$1 billion note with a 5.000% coupon. The five-year tranche recorded the lowest yield among non-Sukuk bonds issued in the GCC so far in 2025, while the ten-year tranche achieved the second-lowest yield in its category.
Institutional investors from key regions—including Asia, the US, the Middle East, the UK, and Europe—participated in the issuance. Pricing tightened by 30 basis points from the initial guidance, and the transaction marked ADQ’s highest level of Asian investor participation to date.
Marcos de Quadros, ADQ’s Group Chief Financial Officer, highlighted the success of the issuance, stating, “We are delighted by the strong investor interest and broad geographic distribution across both tranches. This outcome reflects the market’s confidence in ADQ’s financial strength, our strategic role within Abu Dhabi’s economy, and the attractiveness of our bond fundamentals amid current conditions.”
This follows ADQ’s September 2024 dual-tranche bond issuance, which included seven- and thirty-year tenors and saw even stronger demand, with an oversubscription of more than 4.1 times.
As of December 31, 2024, ADQ reported total assets of US$251 billion, supported by a compound annual growth rate of 23% over three years. The company manages a diversified portfolio of over 25 companies across eight economic clusters that span key sectors of Abu Dhabi’s economy.
ADQ holds strong credit ratings of Aa2 from Moody’s and AA from Fitch, both with stable outlooks.