Sweden Raises SEK10 Billion in New 50-Year Government Bond
By Emese Bartha
Sweden sold 10 billion kronor ($1.20 billion) in a new 50-year
government bond via a bank syndicate on Wednesday, the National
Debt Office said.
The issue of the 1.375% June 2071-dated bond attracted demand in
excess of SEK52 billion, it said. The bond was priced at 99.605, at
a yield of 1.386%. The reoffer yield is 45 basis points above that
of the 0.50% November 2045 bond, the longest-dated Swedish
government bond prior to the current transaction.
"With Sweden's strong state finances as a foundation, we have
again shown that we can attract a broad investor base," Johan
Bergstrom, acting head of funding at the NDO, said.
The NDO said 29% of the issue was allocated to fund managers,
followed by 27% to insurance and pension companies, 18% was
allocated to hedge funds, 17% to central banks and public
institutions, and 9% to banks. The geographical distribution shows
that 39% of the issue was taken by Sweden-based investors, followed
by 20% to the U.K., 15% to other Nordics, 14% to Asia and Middle
East, while the rest of Europe bought 12%.
Lead managers of the transaction were Barclays, Danske Markets,
Handelsbanken, Natwest Markets, Nordea, SEB and Swedbank.
Write to Emese Bartha at email@example.com
(END) Dow Jones Newswires
June 16, 2021 13:09 ET (17:09 GMT)
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