Tuesday 25 September 2018

MAF still plans to issue hybrid bond

Dubai, July 25, 2013

Dubai mall developer Majid Al Futtaim (MAF) said on Thursday that it still plans to issue a hybrid bond that will partly fund its recent buyout of French retailer Carrefour's stake in a joint venture.

MAF delayed plans to raise at least $500 million from the hybrid bond in June due to market volatility.

"The market conditions in the last few weeks have been volatile and we are waiting for a receptive window for this issuance," said Iyad Malas, chief executive of MAF in an emailed statement announcing the company's first-half earnings.

"There is no change to our intention to issue the hybrid security."

MAF hired banks to partly finance the $683 million acquisition of Carrefour's 25-per cent stake in a joint venture through a hybrid bond issue, which combines elements of both debt and equity.

Financing an acquisition through the issuance of a hybrid bond would be the first such transaction in the region.

Unlisted MAF reported a first half revenue of 11.3 billion dirhams, up 10 per cent from the corresponding period in 2012. - Reuters

Tags: Dubai | Carrefour | MAF | Majid Al Futtaim | hybrid bond |

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