Taqa weighs dollar bond amid board shuffle
Abu Dhabi National Energy, known as Taqa, is due to launch meetings on Thursday with overseas investors for a prospective US dollar-denominated bond as its leadership changes guard.
Abdulla Al Nuaimi, the former chief of Abu Dhabi Water & Electricity Authority who oversaw the recruitment of international investors to build the emirate’s power and water projects, left the board and will no longer serve as executive vice chairman. He was replaced as director general of Adwea earlier this year.
Leadership at the local utilities owner and international oil and gas investor is in transition, with four new board members voted in on Tuesday, and a new chief executive appointed in February. Ed LaFehr, who replaces Carl Sheldon, is due to announce details of a “simplified” restructuring later this month. The new chairman, Saeed Mubarak Al Hajeri, is an executive director at Abu Dhabi Investment Authority.
Last year, Taqa lost Dh2.52 billion, in part because of a writedown on Canadian gas assets bought before the height of the shale boom.
The preparations for a new bond come during the same month that Taqa secured a $200 million samuari loan to pay off part of a $1.2bn bond maturing in September. Taqa hopes to tap Japan again thanks to ample liquidity brought on by “accommodating government policy”.
Bank of America Merrill Lynch, Mitsubishi UFJ Securities, Société Générale, Standard Chartered and RBS are arranging talks with fixed-income investors in Asia, Europe and the United States.
Follow us on Twitter @Ind_Insights
Updated: April 23, 2014 04:00 AM