By Rebecca Melvin
Concord, N.H., April 12 – South Africa priced $3 billion of global notes (expected ratings: Ba2/BB-/BB-) on Monday, including $1.4 billion of 10-year notes and $1.6 billion of 30-year notes, according to a syndicate source.
The $1.4 billion of notes due April 20, 2032 priced at par to yield 5 7/8%, or a spread of 309.1 basis points over Treasuries.
The $1.6 billion of notes due April 20, 2052 priced at par to yield 7.3%, or a spread over Treasuries of 447.4 bps.
The notes are non-callable.
Absa Bank Ltd., Deutsche Bank AG, London Branch, HSBC Bank plc, Nedbank Ltd. and Rand Merchant Bank, a division of FirstRand Bank Ltd. (London Branch), were bookrunners.
Proceeds will be used to pay the republic’s foreign currency commitments.
Listing will be on the Luxembourg Stock Exchange.
| Issuer: | South Africa
|
| Amount: | $3 billion
|
| Issue: | Senior notes
|
| Bookrunners: | Absa Bank Ltd., Deutsche Bank AG, London Branch, HSBC Bank plc, Nedbank Ltd. and Rand Merchant Bank, a division of FirstRand Bank Ltd. (London Branch)
|
| Fiscal agent: | Citibank, NA, London Branch
|
| Counsel to issuer: | In-house
|
| Counsel to bookrunners: | White & Case LLP
|
| Pricing date: | April 11
|
| Settlement date: | April 20
|
| Expected ratings: | Moody’s: Ba2
|
| S&P: BB-
|
| Fitch: BB-
|
| Distribution: | SEC registered
|
|
|
| 10-year notes
|
| Amount: | $1.4 billion
|
| Maturity: | April 20, 2032
|
| Coupon: | 5 7/8%
|
| Price: | Par
|
| Yield: | 5 7/8%
|
| Spread: | 309.1 bps over Treasuries
|
| Call: | Non-callable
|
| ISIN: | US836205BC70
|
|
|
| 30-year notes
|
| Amount: | $1.6 billion
|
| Maturity: | April 20, 2052
|
| Coupon: | 7.3%
|
| Price: | Par
|
| Yield: | 7.3%
|
| Spread: | 447.4 bps over Treasuries
|
| Call: | Non-callable
|
| ISIN: | US836205BE37
|
|
|
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