The Arab Energy Fund delivered a landmark issuance of USD 600 million, achieving competitive pricing underpinned by robust investor demand
The Arab Energy Fund (TAEF), formerly known as APICORP, a leading multilateral impact financial institution focused on the MENA energy sector, has successfully completed a USD 600 million long 5-year issuance, priced at SOFR +75bps.
This transaction represents TAEF’s fourth successful public benchmark issuance in 2025, underscoring its robust credit profile and its status as a frequent and trusted issuer in global capital markets. The bond, maturing in February 2031, was priced inside secondary levels despite extremely busy primary markets, with more than 40 trades announced globally around the same time.
The transaction achieved 10bps of tightening during the book-building process, and around 20bps inside prevailing secondary trading levels.
The deal attracted a sizeable peak orderbook, which was twice the planned issuance size, enabling an upsizing to USD 600 million. Demand was anchored by a high-quality and diversified investor base, including central banks, sovereign wealth funds, supranational institutions, and agencies.
Consistent with TAEF’s previous issuances, the transaction achieved broad geographic participation and strong support from both MENA and international investors.
“This issuance is a testament of investors’ confidence in TAEF’s solid credit profile. Their continued trust has enabled us to reprice our curve in line with our funding strategy.” said Vicky Bhatia, Chief Finance Officer, The Arab Energy Fund.
