By Cristal Cody
Eureka Springs, Ark., Aug. 3 – The Federal Home Loan Bank System sold $3.5 billion of 0.875% three-year Global Notes at 99.808 to yield 0.94% on Wednesday, according to a news release.
The notes priced with a spread of 16 basis points over Treasuries.
Barclays, TD Securities (USA) LLC and Wells Fargo Securities LLC were the lead managers.
The deal was distributed among 16 firms.
U.S. investors took 76% of the notes, while 11% went to investors in Europe, 9% to Asia and 4% to other countries.
Investment advisers/fund managers received 53% of the notes. Financial institutions took 22%, central banks purchased 16%, state and local governments bought 8% and other investors took the remaining 1% of notes.
Interest payments will be made semiannually on Aug. 5 and Feb. 5, beginning Feb. 5, 2017.
The government-sponsored banks for financial institutions are based in Washington, D.C.
| Issuer: | Federal Home Loan Bank System
|
| Amount: | $3.5 billion
|
| Description: | Global Notes
|
| Maturity: | Aug. 5, 2019
|
| Bookrunners: | Barclays, TD Securities (USA) LLC, Wells Fargo Securities LLC
|
| Co-managers: | Citigroup Global Markets Inc., Deutsche NY, FTN, HSBC, BofA Merrill Lynch, Morgan Stanley & Co., Nomura Securities
|
| Coupon: | 0.875%
|
| Price: | 99.808
|
| Yield: | 0.94%
|
| Spread: | Treasuries plus 16 bps
|
| Trade date: | Aug. 3
|
| Settlement date: | Aug. 4
|
| Distribution: | Global
|
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