By Cristal Cody
Tupelo, Miss., Feb. 21 – The Kingdom of Sweden (Aaa/AAA/AAA) priced $2 billion of 2.5% three-year bonds on Thursday at mid-swaps flat, or a spread of Treasuries plus 8.65 basis points, according to a market source and a news release.
The bonds were initially talked to print with a spread in the mid-swaps plus 2 bps area.
The issue priced at 99.75 to yield 2.587%.
Barclays, Citigroup Global Markets Ltd. and Deutsche Bank Securities Inc. were the bookrunners of the Rule 144A and Regulation S offering.
The order book totaled $3.3 billion with 50 investors in the deal.
Demand was strong from central banks and bank treasuries, which provided a tight price, according to the release.
Proceeds will be used to refinance maturing on-lending to the Riksbank, the central bank of Sweden.
In 2019, the Swedish National Debt Office plans to issue bonds equivalent to SEK 90 billion. Following Thursday’s transaction, just over SEK 70 billion remains.
| Issuer: | Kingdom of Sweden
|
| Amount: | $2 billion
|
| Description: | Bonds
|
| Maturity: | Feb. 28, 2022
|
| Bookrunners: | Barclays, Citigroup Global Markets Ltd. and Deutsche Bank Securities Inc.
|
| Coupon: | 2.5%
|
| Price: | 99.75
|
| Yield: | 2.587%
|
| Spread: | Mid-swaps flat, or Treasuries plus 8.65 bps
|
| Trade date: | Feb. 21
|
| Ratings: | Moody’s: Aaa
|
| S&P: AAA
|
| Fitch: AAA
|
| Distribution: | Rule 144A and Regulation S
|
| Price talk: | Mid-swaps plus 2 bps area
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
