ADQ Raises $2 Billion Through Two-Part Bond Sale
Abu Dhabi Developmental Holding Company (ADQ) said on Wednesday that it has successfully set the price for its $2 billion bond sale, which is its third time raising money through bonds.
Bond Issuance Details
ADQ, a sovereign wealth fund, said its recent bond sale helps it raise money in different ways. The money raised will go toward projects that support ADQ’s goals and long-term growth, according to the Emirates News Agency (WAM).
ADQ said there is strong demand for reliable bonds from emerging markets, and this sale shows that investors trust ADQ’s financial strength, even during market ups and downs. It also shows strong confidence in Abu Dhabi’s economy.
The total demand for the bonds was over $7 billion, which is more than 3.5 times the amount ADQ planned to raise.
The bond sale included two parts:
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A five-year bond worth $1 billion with a yearly interest rate of 4.5%
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A ten-year bond worth $1 billion with a yearly interest rate of 5%
These are among the lowest rates for similar bonds from the Gulf region this year, not including Islamic (Sukuk) bonds.
ADQ said that major investors from Asia, the US, the Middle East, the UK, and Europe took part. The final pricing was made 30 basis points lower than the starting offer, showing strong interest.
Marcos de Quadros, ADQ’s Chief Financial Officer, said the success of this bond sale proves that investors trust ADQ and Abu Dhabi’s stable and strong economy.
Previous Bond Sale
In September 2024, ADQ issued another bond with seven-year and thirty-year terms. That sale was over four times oversubscribed. ADQ has strong credit ratings (Aa2 from Moody’s and AA from Fitch), both with a stable outlook.
By the end of 2024, ADQ had total assets worth $251 billion, growing at an average of 23% per year over the last three years.
Recent Partnerships
Last month, ADQ joined with International Holding Company (IHC) and Modon Holding to launch a new company called Gridora. This new company will lead large infrastructure projects in the UAE and beyond, working with expert partners and investors.
In March, ADQ also partnered with Energy Capital Partners (ECP) from the US to build power and energy infrastructure. They plan to invest more than $25 billion in projects that will generate 25 gigawatts of power, starting with $5 billion in initial funding.
This partnership aims to meet the growing power needs of data centers, cloud companies, and other energy-heavy businesses.
Published: 8th May 2025
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