27.05.20
Treasury issues eurobond

Today the Republic of Iceland issued bonds in the amount of 500 million euros, the equivalent of ISK 76bn. The bonds bear fixed interest of 0.625% and have a 6-year maturity, offering investors a yield of 0.667%.

Investors showed keen interest, with demand totalling EUR 3.4 bn, or nearly seven times the size of the issue. The investor group comprises central banks and other institutional investors, mainly from Europe. Joint lead managers for the transaction were Citi, JP Morgan, and Morgan Stanley. 

“This issue confirms the Republic’s open access to global capital markets and demonstrates investors’ confidence in the resilience Iceland has built up in recent years. It enhances our capacity to address the repercussions of the COVID-19 pandemic and reflects our strength and our ability to overcome the economic implications,” said Minister of Finance and Economic Affairs Bjarni Benediktsson. 

During the book building process, the terms improved by some 30 basis points as demand exceeded expectation, resulting in a mere 5bp new issue premium. Almost 200 investors placed orders, almost twice as many as in the Treasury’s last bond issue in 2019.

“This issue is in line with the Treasury’s debt management strategy. It will facilitate other domestic borrowers’ access to foreign credit markets and confirms that the Republic of Iceland has ready access to a large and diverse group of investors. The markets have been lively in the recent term, as many governments are in the same position, attempting to secure long-term financing,” said Bjarni Benediktsson.

Aðrar fréttir

Dec 12 2024
Treasury Bills
Treasury Bill Auction Announcement - RIKV 25 0319 - RIKV 25 0716
Series RIKV 25 0319 RIKV 25 0716
ISIN IS0000036721 IS0000037117
Maturity Date 03/19/2025 07/16/2025
Auction Date 12/16/2024 12/16/2024
Settlement Date 12/18/2024 12/18/2024

On the Auction Date, between 10:30 am and 11:00 am, the Government Debt Management will auction Treasury bills in the Series, with the ISIN numbers and with the Maturity Dates according to the table above. Payments for the Treasury bills must be received by the Central Bank before 14:00 on the Settlement Date and the Bills will be delivered in electronic form on the same day.

Further reference is made to the General Terms of Icelandic Treasury bills and General Terms of Auction for Treasury bills on the Government Debt Management website.

For additional information please contact Magnús Freyr Hrafnsson, Government Debt Management, at +354 569 9679.

Treasury Bond Auction Announcement - RIKB 27 0415 - RIKB 35 0917 - Switch Auction
Series RIKB 27 0415 RIKB 35 0917
ISIN IS0000036291 IS0000035574
Maturity Date 04/15/2027 09/17/2035
Auction Date 12/13/2024 12/13/2024
Settlement Date 12/18/2024 12/18/2024
 
Buyback issue RIKB 25 0612  
Buyback price (clean) 99.6900  

On the Auction Date, between 10:30 a.m. and 11:00 a.m., the Government Debt Management will auction Treasury bonds in the Series, with the ISIN numbers and with the Maturity Dates according to the table above. The Treasury bonds will be delivered in electronic form on the Settlement Date.

Payment for the bonds can only be made with the Buyback issue at the Buyback price. Cash is not accepted.

The value of the Buyback bond is determined by the Buyback price plus accrued interest (i.e. dirty price). The bonds must be delivered to the Central Bank before 14:00 on the Settlement Date.

No fee is paid in relation to the purchase of RIKB 25 0612.

Further reference is made to the description of the Treasury bond and the General Terms of Auction of Treasury Bonds.

For additional information please contact Oddgeir Gunnarsson, Government Debt Management, at +354 569 9635.