Bank Muscat has successfully priced a $750 million five-year senior unsecured benchmark bond, tightening its spread to 115 basis points over U.S. Treasuries, with a semi-annual coupon of 4.846%. Initial indications had suggested a spread of around 150 basis points.
Investor appetite proved robust, with the final orderbook surpassing $2.3 billion, not including interest from joint lead managers, ahead of a settlement date set for October 1, 2030. The bond carries expected ratings aligned with Bank Muscat’s own: Baa3 from Moody’s and BBB- from S&P.
As Oman’s largest bank by total assets, Bank Muscat tapped a global syndicate of banks to manage the issuance, including Abu Dhabi Commercial Bank, Emirates NBD Capital, First Abu Dhabi Bank, GIB Capital, HSBC, JP Morgan, Standard Chartered, and Bank Muscat itself.
The bond forms part of the bank’s $2 billion Euro Medium Term Note Programme and is slated for listing on Euronext Dublin, reinforcing Bank Muscat’s profile in the international debt markets.
