Sri Lanka 10-year sovereign bond guidance narrowed to 6.75-pct
Apr 11, 2018 21:37 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT - The pricing of Sri Lanka's 10-year sovereign bond that was launched Wednesday has been narrowed to 6.75 percent and while that of a 5-year bond has been narrowed to 5.75 percent, a media report said.
Bloomberg Newswires said the sale was launched earlier Wednesday with initial guidance of around 7-prce for the 10 year and 6-percent for the 5-year.
Sri Lanka started selling 5 and 10 year sovereign bonds on Wednesday starting with Asia and the issue is expected to close with the US markets closing.
Sri Lanka last sold a 10 year bond in May 2017, at 6.2 percent, when the US 10-year Treasuries yield was 2.35 percent, indicating a risk premium of 2.85 percent.
US bond yields have been around 2.6 percent for 5-year ad and 2.79 for 10 year in recent days.
The sale is managed by Citibank, Deutsche Bank, HSBC, JPMorgan and Standard Chartered.
Sri Lanka is going to the market amid some volatility in international markets with more Fed rates hikes expected later in the year. (Colombo/Mar11/2018)