Introduction section Placement results of the new 10-year BTP

Placement results of the new 10-year BTP

The Ministry of Economy and Finance announces the placement results of new 10-year BTP first tranche. The bond, maturing on the 1st December 2030 with accrual date 1st of June 2020, has a 1.65% annual coupon, paid on a semi-annual basis. The settlement date of the transaction is set on the 10th of June. The amount of 14 billion Euro has been issued at a re-offer price of 99.520, equivalent to a 1.707% gross annual yield.

 

The bond has been placed through a syndicate, structured with six lead managers, BNP Paribas, Citigroup Global Markets Ltd, HSBC France, Monte dei Paschi di Siena Capital Services Banca per le Imprese S.p.A, NatWest Markets PLC and UniCredit S.p.A and with the rest of Specialists in Italian Government bonds participating as co-lead managers.

 

Details regarding the demand composition will follow in the next press release of the Ministry.

 

The transaction is consistent with what has been stated in the recently updated 2020 Public Debt Management Guidelines, which envisage the possibility to resort to the syndicated placement for the issuance of new benchmark with maturity equal or lower than ten years. Furthermore, the Issuance quarterly program for the second quarter of 2020 envisaged the possible issuance of further new securities in addition to those communicated, based on the market conditions. The issuance of the new 7-year BTP scheduled for the second quarter is postponed to the third quarter of 2020 in order to take into account the announced operation.

 

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