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 return of 3.49%
It is the longest term reference that the public issuer has issued through a syndication
The average life of the Public Treasury portfolio is 6.9 years, the highest number since Spain entered the euro
The Public Treasury has made a syndicated issuance of its second 50-year reference for 3,000 million euros, expiring on July 30, 2066 and a coupon of 3.45%. The demand has reached 10,436 million euros. The profitability of the issuance has been 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 return of 4.02% and a coupon of 4%.
The high demand has allowed the Treasury to allocate the issue among investors of very high quality; that is to say, of a typology very diversified so much by class of investor as by geographic zones. 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 and Middle Eastern countries have participated with 1.31% of the issue.
Based on the type of investor, the largest 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 banking institutions, 12.29%. Central banks and official institutions have been awarded with 2.18% of the issue and other types of investors with 3.65%.
With this union of 3,000 million euros, the Treasury has fulfilled 45.3% of its program in the medium and long term (120,301 million euros). After this issuance, the average life of the outstanding State debt 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 Creators of Bond Market and Obligations of the State have acted as co-leaders.
