• The amount of debt requested by investors has exceeded 43,000 million euros
  • The Treasury has placed 299 highly diversified and high quality investor accounts
  • The new 10-year benchmark has been issued with a coupon of 1.40% and a yield of 1.451%
  • 78.2% of the amount has been placed among non-resident investors

The Public Treasury has made a syndicated issue of a new 10-year reference maturing on April 30, 2028 and a coupon of 1.40%. A total of 10,000 million euros has been issued, with a demand of more than 43,000 million euros, the largest recorded in a syndicated operation by the Public Treasury. The return on the issue stood at 1.451%, equivalent to 46 basis points above the mid-swap rate (reference rate of the interbank market for interest rate swaps).

The Treasury has been able to allocate the issue among high-quality investors thanks to a solid demand from 299 investor accounts, highly diversified both by type of investor and by geographical area.

The participation of non-resident investors has reached 78.2% of the syndication. Of this percentage, the participation of the whole of Germany, Austria and Switzerland stands out, with 24.9%, followed by the United Kingdom and Ireland, with 21.0%, France and Italy, with 10.7%, the rest from countries of the European Union, with 8.7%, the United States and Canada, with 5.9%, and Scandinavia, with 5%. The rest of the regions have obtained 2% of the issue.

By type of investor, the largest share corresponded to banks, with 31.8%, followed by insurers and pension funds, with 29.8%, fund managers, with 23.4%, funds leveraged, with 7.4%, and central banks and official institutions, with 4.9%. Other investors have represented 2.7%.

With this first syndication for the 2018 financial year of 10,000 million euros, the Treasury has met 16.3% of its medium and long-term issuance target for the entire year (126,310 million euros).

Banco Bilbao Vizcaya Argentaria, Banco Santander, Barclays Bank, Citi, HSBC and NatWest Markets have acted as directors of this issue. The rest of the group of Market Makers of Bonds and State Obligations has assumed the role of co-directors.

Source of the new