LONDON (MNI) – Slovakia is still working on documentation of its
new syndicated 10-year benchmark issue, which is now likely to be
launched next week, a senior source at Ardal, the Debt and Liquidity
Management Agency said Thursday.
The source told Market News International that “it’s a matter of
documentation and not market conditions” that has delayed the launch of
the new 10-year issue.
The 10-year benchmark issue will most likely to be launched next
week, subject to market conditions, added the source.
Conditions in peripheral markets have deteriorated in recent
sessions following aggressive widening of Greek bond spreads to fresh
record highs, amid jitters that Athens won’t be able to fund around
E22.4 billion in redemption and coupon payments falling due the end of
May.
Slovakia, which borrows under the name of Slovak Republic, has
mandated Deutsche Bank, ING, BarCap and Slovenska Sporitelna as lead
banks for the forthcoming new 10-year benchmark issue.
The agency plans to sell E1.5 billion of the 10-year bond initially
via the syndication process and then build the volume up to E3.0 billion
through the auction process, Daniel Bytcanek, the director of Ardal told
MNI previously.
Slovakia is also planning to issue a new 15-year bond in 2010 in
the autumn for an eventual total size of E3 billion, according to
Ardal’s auction calendar.
The Bratislava-based agency expects to issue between E6.0 to 8.0
billion worth of debt in 2010.
–London newsroom: 00 44 20 7862 7494 e-mail: nshamim@marketnews.com
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