The Arab Petroleum Investments Corporation (Apicorp) has successfully launched the first “Formosa” bond out of Saudi Arabia, targeting the Taiwanese investor base.

In order to appeal to the local investor base, the Formosa bond, also known as a Taiwan foreign-denominated international bond, is listed on the International Board of the Taipei Stock Exchange. Credit Agricole CIB acted as the lead manager on the trade.

Apicorp is a multilateral development bank established to foster the development of the Arab world’s oil and gas industries.
 
Hesham Farid, head of treasury & capital markets, said: “We are delighted with the high level of interest from top quality investors in our first “Formosa” bond. The oversubscribed issue has allowed us to develop strong relationships with a new set of investors in Taipei. This is testament to Apicorp's impressive 40-year track record, unique ownership structure and strong fundamentals, and reassuring Aa3 credit rating.
 
"Having previously accessed the sukuk market in both Saudi Riyal and US Dollars, it was important for Apicorp to continue to diversify our investor base, sources of funding and educate investors on the strength of the Apicorp credit,” Farid said.

Abrar Hussain, Head of DCM for the Mnea at Credit Agricole CIB, commented: “Apicorp  ticks all the boxes required by this specific investor base. It offers a strong Aa3 credit rating, a solid ownership by regional governments, diversification in terms of access to assets in several countries as well as strong fundamentals all rolled into one. This is the perfect name for the Taiwanese investor base.” - TradeArabia News Service