Dubai – Mubasher: DAE Funding, a wholly-owned subsidiary of Dubai Aerospace Enterprise (DAE), on Sunday announced that it has priced senior notes worth a total of $2.3 billion distributed on a three-tier structure, according to an official statement.

DAE Funding has priced $500 million aggregate principal amount of 4% senior notes that are due in 2020, $800 million total main amount of 4.50% senior notes due 2022, and $1 billion aggregate principal amount of 5% senior notes that are due in 2024. 

The notes will be fully and unconditionally guaranteed by DAE, which plans to use part of the net proceeds from this offering, in addition to cash-on-hand, to pay the cash purchase price for its previously announced acquisition of the AWAS group, as well as for related fees and expenses.

Settlement of the offering is expected to take place on 4 August 2017. 

“Pending the consummation of the acquisition of AWAS, the gross proceeds of the offering will be placed into an escrow account with Wells Fargo Bank, National Association,” the statement said.