Sultanate of Oman $6.5 billion three tranche sovereign bond issue

Overview:

• The Government of the Sultanate of Oman issued a $6.5 billion bond in three tranches.
• The tranches were $1.25 billion five year notes with a 4.125% coupon, $2.5 billion 10 year notes with a 5.625% coupon, and $2.75 billion in 30 year notes with a 6.75% coupon 
• The notes are listed on the Irish Stock Exchange. 
• The Sultanate's latest bond issue - it has sold billions in riyal and dollar denominated conventional and Islamic bonds since January 2016 - is the country's largest ever single debt sale. 
• Oman has in recent years been increasingly activite on the international debt markets as, like many Persian Gulf states, it has borrowed to fill gaps in annual budget deficits caused by the low oil price.   
• Citigroup, HSBC, JP Morgan, SMBC Nikko Capital, and Standard Chartered Bank were bookrunners on the transaction.

Ben Naylor - Regional editor