(AFP Photo)
By Hossam Mounir
A delegation from the National Bank of Egypt (NBE) is continuing negotiations with five international banks nominated for promoting its dollar bonds that are to be offered in the foreign markets, said Karam Soliman, Financial Resources and External Branches Manager.
The banks are Citi Group, Deutsche Bank, HSBC, the National Bank of Abu Dhabi, and Standard Chartered.
“The tour of the bank’s delegation in the markets of these five banks started last Wednesday, where several meeting were conducted to discuss their offers and choose the best of them, in preparation for issuing the bonds,” Soliman said.
He added that the discussions between the NBE delegation and the representatives of the five international banks did not end until Monday. Soliman added that the value of the bonds that will be offered in the international markets has not yet been determined.
In an extraordinary general assembly, the bank agreed last March to issue dollar bonds in international markets. The bank called on 13 international financial institutions to compete over the preparations for the issuing, of which five were chosen.
NBE Chairman Hisham Okasha said in a previous statement that the aim of issuing these bonds is to diversify the sources of the foreign currency in the bank.
According to Soliman, it is certain that the NBE will issue the bonds by the beginning of August at latest.
In August 2010, the NBE issued bonds in the international market worth $600m, at an interest rate of 5.25%.
Fitch Ratings rated the dollar bonds that NBE plans on issuing an expected rating of B, with a stable outlook.
The agency added that the final rating is contingent upon the receipt of final documents conforming to information already received.
