Sri Lanka US$2.5bn bond timing brought strong demand: Standard Chartered
Apr 12, 2018 17:25 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT - Sri Lanka's successful 2.5 billion US dollar bond sale met the price and volume requirement and the timing helped draw in investors from Asia and rest of the globe, joint lead manager Standard Chartered said.
"Post Asian holidays in the week of 2nd April, the Sovereign was advised to select the appropriate window in week of 9th April," Lakshan Goonetilleke, Executive Director Head of Financial Institutions at Standard Chartered said.
"The strategy worked out very well, with books garnering strong demand from institutional investors in Asia and Europe. U.S. investors, who traditionally have been big supporters of Sri Lankan issuances."
Sri Lanka sold 1.25 billion dollars of 5-year bonds at 5.75 percent and 1.25 billion US dollars of 10-year bonds at 6.75 percent, the largest ever in a single offering.
Jim Mc Cabe, Chief Executive Officer of Standard Chartered said it was the seventh US dollar bond sale the bank helped manage.
"This also confirms the investor sentiment towards Sri Lanka and its continued growth story as we are committed to the development of the country and are here for good," he said.
Standard Chartered said both price and volume objectives of the issuer was met.
There were 3 billion dollars of orders for the 5-year bond from 235 investors and 3.5 bllion dollars of orders for the 10-year bond from 190 accounts. (Colombo/Mar12/2018)