01/10/2025 | Press release | Distributed by Public on 01/10/2025 02:23
The Asian Infrastructure Investment Bank (AIIB, AAA/Aaa/AAA) has made a strong return to the U.S. dollar market, building an order book in excess of USD9.5 billion with a 5-year USD Sustainable Development Bond.
Priced on January 9, the benchmark bond raised USD2 billion and followed closely after AIIB priced a GBP500 million Oct-2029 Sustainable Development Bond on January 3. This marks the Bank's seventh consecutive year as an issuer in the U.S. dollar market raising over USD27 billion.
Domenico Nardelli, AIIB Treasurer, said, "I am thrilled to start 2025 building on the momentum we saw last year. We continue to see strong investor demand to support sustainable development in our Members and are particularly pleased to see the resilience of our investor base. Compared to the 5-year bond we issued last January, the investor composition has evolved in line with market dynamics, which demonstrates the depth and breadth of investors that AIIB is fortunate to have."
"The trade was capped at USD2 billion to provide room for further U.S. dollar benchmarks later in the year," remarked Darren Stipe, AIIB Head of Funding. "The most satisfying outcome was to see the strong support for our credit in the primary market, followed immediately by solid performance after the trade".
BMO Capital Markets, Citigroup Global Markets, Crédit Agricole Corporate and Investment Bank and J.P. Morgan were the joint lead managers for the transaction.
Key Transaction terms
Issuer |
Asian Infrastructure Investment Bank ("AIIB") |
Rating |
Aaa/AAA/AAA (Moody's, S&P and Fitch), all stable |
Issue Amount |
USD 2,000,000,000 |
Status |
Direct and Unsecured |
Pricing Date |
9 January 2025 |
Settlement Date |
16 January 2025 (T+5) |
Maturity Date |
16 January 2030 |
Coupon |
4.50%, Semi-Annual, 30/360, Following, Unadjusted |
Re-offer Spread to mid swaps |
+44 bps |
Re-offer Price |
99.699% |
Re-offer Yield |
4.568% |
ISIN |
US04522KAP12 |
Listing |
London Stock Exchange's Main Market |
Lead Managers |
BMO Capital Markets, Citigroup Global Markets, Crédit Agricole Corporate and Investment Bank, J.P. Morgan |
Investor Distribution:
By Investor Type |
|
Central Banks/Official Institutions |
21% |
Bank Treasuries |
51% |
Asset Managers/Pension Funds/Others |
28% |
By Investor Region |
|
APAC |
22% |
EMEA |
59% |
Americas |
19% |
About AIIB
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank whose mission is Financing Infrastructure for Tomorrow in Asia and beyond - infrastructure with sustainability at its core. We began operations in Beijing in 2016 and have since grown to 110 approved members worldwide. We are capitalized at USD100 billion and AAA-rated by the major international credit rating agencies. Collaborating with partners, AIIB meets clients' needs by unlocking new capital and investing in infrastructure that is green, technology-enabled and promotes regional connectivity.