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Abu Dhabi Commercial Bank issues $230 million Formosa bond

By Tom Arnold

DUBAI, March 19 (Reuters) - Abu Dhabi Commercial Bank (ADCB), the emirate's second largest bank by assets, raised $230 million through the sale of a five-year Formosa bond, its second issuance sold in Taiwan this quarter, sources told Reuters on Sunday.

At least two other Gulf banks have made similar forays into the Formosa market in the past year as they look to diversify their funding sources.

Formosa bonds are sold in Taiwan by foreign issuers and denominated in currencies other than the Taiwanese dollar.

ADCB's five-year issue, which was placed with institutional investors, was arranged by JPMorgan Chase & Co, the sources said.

ADCB declined to comment when contacted by Reuters.

Earlier this quarter, the bank raised around $750 million through a five-year Formosa bond, which was also placed with institutional investors, one of the sources said. That issue was arranged by Morgan Stanley.

National Bank of Abu Dhabi raised $885 million through the sale of a 30-year Formosa bond in January after issuing a $696 million public Formosa bond in October.

Qatar National Bank in July printed $330m of five-year Formosa floating-rate notes, two months after issuing three-year floating-rate notes of $1.1 billion.

(Editing by Jane Merriman)