NSB to sell minimum of US $500mn 5-yr bond

26 Aug 2013 - {{hitsCtrl.values.hits}}

Sri Lanka's state-run National Savings Bank (NSB) plans to raise a minimum $500 million through the sale of a likely five-year bond with a target yield around 7 percent, sources close to the deal told Reuters on Monday

The final decision on size of the bond and tenure will depend on market appetite, the sources said.

The bank, which had originally targeted US $1 billion, 10-year bond, has appointed Citibank, Barclays, and HSBC as the lead managers for the lender's first global corporate bond and will start roadshows on Monday in New York followed by Boston, Los Angeles, London, Hong Kong, and Singapore.

"It will be a minimum of US $500 million with minimum five-year tenure, but depending on the market appetite, the size and tenure will be decided," one source said on condition of anonymity.

"Currently the markets are highly volatile. Our current bonds in the secondary market are trading around 7 percent. That gives some kind of a signal on the yield."

A second source confirmed the NSB's bond sales plans and details. (REUTERS)

Economy

NSB to sell minimum of US $500mn 5-yr bond

Most Popular Articles

Browns Investments completes acquisition of shares in Lipton Teas and Infusions Tanzania Limited

Auction yields slump for third consecutive week

ASPI crosses the 15,000 mark for the first time

November merchandise exports slide 5.6% YoY while services sector expands 21%

LATES'T NEWS

Ranil pays last respects to Manmohan Singh

Man deceives Deputy Minister; obtains 17 new passports

New criteria to be introduced to enhance quality standards for private, SLTB buses

Five Gaza journalists killed in Israeli strike targeting armed group

South Korea votes to impeach acting president Han Duck-soo