EFSF raises €5 billion in two bond deals
Press releases
EFSF
Luxembourg - The European Financial Stability Facility (EFSF) on Tuesday raised €5 billion in a dual-tranche deal, through the issue of a new 7-year benchmark bond and a tap of a 1.20% February 2045 bond.
“The EFSF continues to attract strong interest from investors in all parts of the curve. Today we made a successful start to the new quarter, raising €5 billion out of the target level of €13 billion for Q2 2017. The order book of over €9 billion for both transactions shows that EFSF bonds are highly desirable for investors,” said Siegfried Ruhl, EFSF Head of Funding and Investor Relations.
The size of the new 7-year bond was €4 billion. It has a coupon of 0.375% and matures on 11 October 2024. The spread at issuance was fixed at mid-swaps minus 3 basis points, implying a reoffer yield of 0.415%. Total orders were in excess of €5.4 billion.
The tap of the February 2045 bond raised €1 billion, bringing the total volume up to €4.5 billion. This bond has a coupon of 1.20% and matures on 17 February 2045. The spread at tap was fixed at mid-swaps plus 54 basis points for a reoffer yield of 1.879%. Books were in excess of €3.8 billion.
Joint lead managers for the transaction were Barclays, Morgan Stanley, and Société Générale CIB.
“The EFSF continues to attract strong interest from investors in all parts of the curve. Today we made a successful start to the new quarter, raising €5 billion out of the target level of €13 billion for Q2 2017. The order book of over €9 billion for both transactions shows that EFSF bonds are highly desirable for investors,” said Siegfried Ruhl, EFSF Head of Funding and Investor Relations.
The size of the new 7-year bond was €4 billion. It has a coupon of 0.375% and matures on 11 October 2024. The spread at issuance was fixed at mid-swaps minus 3 basis points, implying a reoffer yield of 0.415%. Total orders were in excess of €5.4 billion.
The tap of the February 2045 bond raised €1 billion, bringing the total volume up to €4.5 billion. This bond has a coupon of 1.20% and matures on 17 February 2045. The spread at tap was fixed at mid-swaps plus 54 basis points for a reoffer yield of 1.879%. Books were in excess of €3.8 billion.
Joint lead managers for the transaction were Barclays, Morgan Stanley, and Société Générale CIB.
Contacts
Deputy Head of Communications and Deputy Chief Spokesperson
+352 260 962 551
Principal Speechwriter and Principal Spokesperson
+352 260 962 654