Morning Commentary: Qatar’s Ezdan 2021, 2022 bonds weaken sharply

By Rebecca Melvin

New York, Nov. 13 – Qatar’s Ezdan Holding Group 2021 and 2022 notes saw dramatic spread widening in the early going on Monday as listed shares fell 5% after news that the real estate developer is restructuring its operations.

The Ezdan 4 3/8% notes due 2021 were seen at 88 bid, 90.00 offered with spreads going from 65 basis points wider to 175 bps wider, according to a London-based firm.

The Ezdan 4 7/8% notes due 2022 were quoted at 88.45 bid, 89.90 offered, with spreads widening to 200 bps from 75 bps at the start of Monday’s session.

Ezdan has cut 220 jobs, or almost 15% of its work force, as part of the restructuring plan, according to a report. Ezdan shares have dropped 48% this year, much of it coming on the heels of Ezdan shareholders’ approval of a plan in May to go private.

© 2015 Prospect News.
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