By Lorena Ruibal

The U.K. on Thursday sold 6 billion pounds ($8.28 billion) in the 1.5% July 2053 green government bond via a syndicate of banks, according to the Debt Management Office.

Proceeds from the sale will be ring-fenced for projects such as offshore wind farms and zero-emission buses.

The new July 2053 green gilt will pay a 1.5% coupon and was priced at 102.214, implying a yield of 1.4133%, it said. Demand was in excess of GBP74 billion, including joint lead manager interest, at final terms it said. The July 2052 conventional bond was used as a pricing reference.

The U.K. domestic market accounted for 88% of the allocation, the DMO said.

Joint bookrunners of the issue were BofA Merrill Lynch, Morgan Stanley, NatWest Markets, RBC CM and Santander.

Write Lorena Ruibal at lorena.ruibal@wsj.com

(END) Dow Jones Newswires

October 21, 2021 10:22 ET (14:22 GMT)

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