News and Deals
Linklaters advises on Qatar’s first digitally native bond issuance
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Aditi Raisurana
Asia Communications and Events Manager
+65 9235 8647
aditi.raisurana@linklaters.com
News and Deals
Press Contact
Aditi Raisurana
Asia Communications and Events Manager
+65 9235 8647
aditi.raisurana@linklaters.com
Linklaters has advised The Hongkong and Shanghai Banking Corporation Limited (HSBC) as manager on the inaugural digitally native bond issuance by the QNB Group – a landmark transaction marking the first of its kind in Qatar and the second digital bond issuance in the Middle East.
The issuance involved a US$500m 3-year floating rate digital bond issued by QNB Finance Limited and guaranteed by Qatar National Bank (QNB). The bonds were issued in a digitally native format using HSBC Orion*, HSBC’s online platform using distributed ledger technology operated by the Central Moneymarkets Unit (CMU) as an extension of the CMU. Beneficial interests in the bonds can be held on-platform or via the traditional clearing systems. The bonds were issued under QNB’s EMTN programme and are listed on the Hong Kong Stock Exchange.
Ms. Noor Al Naimi, Senior Executive Vice President, QNB Group Treasury & Financial Institutions, said: “This inaugural Digitally Native bond issuance transaction is part of our funding diversification strategy and broadens the range of funding sources available to QNB. QNB Group will continue to play a pioneering role in adoption of transformative technologies.”
The deal was led by Dubai-based capital markets partner Jonathan Fried, with support from Hong Kong-based capital markets partner Michael Ng. The cross-jurisdictional team included Sian Sanford, Jenny Sun and Kamran Toor. Linklaters also acted as adviser to the fiscal agent on this transaction.
Linklaters partner and head of Middle East capital markets, Jonathan Fried, commented:
“We are proud to have advised on Qatar’s first digitally native bond issuance, a significant milestone in the region’s capital markets. This transaction underscores the growing adoption of innovative digital solutions across the Middle East. Drawing on our regional and global experience in digital bonds, our team looks forward to collaborating with clients to help shape the next phase of market development in this rapidly evolving space.”
Linklaters is at the forefront of the evolving digital innovation space. The team regularly advises on path-breaking digital assets transactions, including recently advising on the first digitally native notes issuance in the Middle East and Hong Kong SAR Government’s largest ever digital green bonds offering.