Burgan Bank hires lenders for bond deal: report
Kuwait’s Burgan Bank has hired HSBC, KAMCO and NBK Capital for a potential bond deal, Reuters has reported, citing unnamed bankers. The bank, rated A3/BBB+, is one of two Kuwaiti lenders that has been planning to issue subordinated debt, the other being Gulf Bank. It is not clear at this stage if the planned deal will be in US dollars or Kuwaiti dinars, nor whether it will be senior or subordinated, though the latter seems more likely. Last month, the Burgan Bank’s chief executive said the lender wants to raise more capital this year to comply with the Basel III requirements. The bank has a total capital ratio of 15.4% and a Tier 1 capital ratio of 9.9%.