3,000 million euros have been awarded to 302 investment accounts, of very high quality and diversified
The bond has a coupon of 3.45%, and a yield of 3.49%
It is the longest term reference that the public issuer has issued through a syndication
The average life of the Treasury portfolio is 6.9 years, the highest figure since Spain entered the euro
The Treasury has made a syndicated issue of its second reference to 50 years for 3,000 million euros, maturing on July 30, 2066 and a coupon of 3.45%. Demand has reached 10,436 million euros. The return on the issue was 3.493%, equivalent to 250 basis points above the rate mid-swa (reference rate of the interbank market for interest rate swaps). The first 50-year issue, made by private placement and for an amount of 1,000 million euros, occurred in September 2014 with a yield of 4.02% and a coupon of 4%.
The high demand has allowed the Treasury to allocate the issue among very high quality investors; that is to say, of a very diversified typology both by class of investor and by geographical areas. In total, the placement has been made to 302 investment accounts.
The participation of non-resident investors has reached 83.30% of the issue. Of this percentage, investors resident in Germany, Austria and Switzerland have participated with 26.59% of the issue, followed by the United Kingdom and Ireland with 22.59%, the United States and Canada with 16.36% and France and Italy with 6.03%. The Scandinavian countries have participated with 3.65% and other European countries with 6.79%, while investors from Asian countries and the Middle East have participated with 1.31% of the issue.
Considering the type of investor, the highest allocation has corresponded to fund managers with 38.27%, followed by pension funds and insurance companies with 30.54%. Leveraged funds have obtained 13.08% of the total while banks, 12.29%. Central banks and official institutions have been awarded 2.18% of the issue and other types of investors 3.65%.
With this syndication of 3,000 million euros, the Treasury has fulfilled 45.3% of its medium and long-term program (120,301 million euros). After this issue, the average life of the State debt in circulation stands at 6.87 years, exceeding the previous maximum of 2007, while the average cost of the Treasury securities portfolio stands at 3.00%.
Santander Bank, Barclays Bank, BNP Paribas, CaixaBank, Citi and Société Générale have acted as directors of this issue. The rest of the group of Market Makers of Bonds and State Obligations have acted as co-leaders.