Aramco’s $6 Billion Bond Sale Draws Overwhelming $33 Billion
19 July 2024•
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Saudi Aramco, the world's largest oil producer, has successfully raised $6 billion (Dh22.02 billion) through its first bond issuance in three years, which garnered an overwhelming $33 billion in orders.
The senior unsecured bonds, denominated in US dollars, were issued under Aramco’s Global Medium Term Note Programme, as announced on Thursday. The deal included three tranches of $2 billion each, with maturities of 10, 30, and 40 years. Priced on July 10, the notes are now listed on the London Stock Exchange.
Originally, Aramco aimed to raise $5 billion but increased the amount to $6 billion due to the strong investor interest. This issuance is Aramco's first since it raised $6 billion from international investors in 2021.
The bond sale was more than six times oversubscribed, based on the initial $5 billion target, reflecting “strong demand from a diverse base of investment-grade focused institutional investors,” according to the company.
Source: The National
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