The National Bank of Abu Dhabi (NBAD) said on Tuesday it has issued a 15-year 10 billion yen (Dh454.7 million) yen-denominated samurai bond, the first ever by a Middle Eastern financial institution. In a statement, NBAD said its issuance of the samurai bond confirms its successful strategy in diversifying its funding sources and to extend its liability profile. A samurai bond is a yen-denominated bond issued in Tokyo by non-Japanese companies. \"We are very pleased to again be the market leader from the GCC in terms of our issuance platform and see this as a major breakthrough. This shows the commitment we have to our well publicised diversification strategy,\" said Stephen Jordan, the senior vice president and the general manager of liquidity management and interest rates product group at NBAD\'s Financial Markets Division. Shares of NBAD on the Abu Dhabi Securities Exchange ended 0.9 per cent lower at Dh11.10. NBAD said it has taken several steps over recent years to enhance its global debt platform, including issuance of debt in Hong Kong dollars and Malaysian ringgit, and recently established a Kangaroo platform for future potential issuance in Australian and New Zealand dollars. NBAD\'s samurai bond matures in 2026 and has a fixed coupon rate of 2.6 per cent. Mistubishi UFJ Morgan Stanley Securities and HSBC Securities Japan were the joint lead managers of the bond. \"NBAD will continue on its diversification strategy which will likely provide opportunities for other issuers from the GCC to tap certain markets, especially in Asia,\" Jordan added. \"Since this bond is yen-denominated, NBAD would need to hedge it — most likely against the US dollar, which would result in some additional costs. But, the fact that they have been able to raise money for 15 years is encouraging,\" Shabbir Malik, banking analyst at EFG Hermes told Gulf News, commenting on the NBAD move. From / Gulf News