Greece Starts Taking Orders for First Bond Offering Since 2014


Greece will raise 3 billion euros ($3.5 billion) in its first visit to international bond markets since 2014 as it attempts to turn the page on a debt crisis that forced it to seek multiple international bailouts.

The sub-investment grade rated country is selling five-year notes at a yield of 4.625 percent, after tightening terms twice from an initial target of around 4.875 percent, according to a person familiar with the transaction. Investors placed orders worth more than 6.5 billion euros, the person said, asking not to be named because they aren’t authorized to speak publicly.

“It’s a test the market deal,” said Dimitris Dalipis, a fund manager at Alpha Trust Mutual Fund Management SA in Athens, which is switching some of its Greek debt holdings to the new paper in a simultaneous offer to exchange 2019 bonds yielding 4.75 percent for cash. “I would expect any yield lower than the last five-year deal in 2014 to be marketed as a success, especially since it also lengthens Greece’s debt profile.””

Greece’s last offering of five year bonds in April 2014 priced with a yield of 4.95 percent…

Read more : Bloomberg, 25.07.2017