Inaugural foreign currency bond with US distribution
(Thomson Reuters ONE) -
The Kingdom of Sweden raises 1.5 billion dollar (SEK 9 billion) in a new three-
year benchmark bond to the Riksbank. As a novelty, the bonds may be purchased by
US-based investors.
- The terms are very attractive, the tightest priced SSA bond in 2011 to date.
At the same time we managed to broaden the investor base. It was especially
pleasing to see such a large distribution to the Americas. The total bid volume
of 2.3 billion dollar showed that there was a significant interest to buy, says
Maria Norström, Head of Funding.
The dollar bond, which is the second of this year, regards refinancing of loans
in foreign currency on-lent to the Riksbank. In 2009, the Debt Office borrowed
corresponding to SEK 95 billion in foreign currency on behalf of the Riksbank.
This coming Autumn an additional loan will mature. Further information can be
obtained from the Debt Office's forecast as of 18 May, 2011, www.riksgalden.se.
Terms and conditions
Issuer Kingdom of Sweden through SNDO
Size USD 1.5 billion
Coupon 1.000 % s.a.
Maturity 3 June, 2014
Price 99.770 %
Yield 1.078 % p.a.
Spread versus USD mid swaps minus 10 basis points
Lead managers Deutsche Bank and The Royal Bank of Scotland
Comments by the lead managers:
- Strong central bank and official institutions and balanced geographical
distribution at this pricing level are testament to the comprehensive demand for
Sweden's top credit quality amid continuing volatility in the markets.
Central bank and official institutions bought almost 75 per cent of the issue.
As much as 28 per cent was placed in the Americas. The balance was sold to
Europe, the Middle East and Asia.
The documentation includes the 144a clause which enables US-based investors to
purchase the bonds in the primary market. The bonds may be cleared both in
Europe and in the United States.
For more information, please contact:
Johan Bergström, Funding Manager, +46 8 613 47 77
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Riksgälden via Thomson Reuters ONE
[HUG#1519210]
Unternehmensinformation / Kurzprofil:
Datum: 26.05.2011 - 16:51 Uhr
Sprache: Deutsch
News-ID 55044
Anzahl Zeichen: 2974
contact information:
Town:
Stockholm
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 212 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Inaugural foreign currency bond with US distribution"
steht unter der journalistisch-redaktionellen Verantwortung von
Riksgälden (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
