The bids for the 7 year bond of Cyprus under the Euro Medium Note Term Program (EMTN) reached €2,462,698,000 which more than doubles the original target set by the Ministry of Finance of Cyprus with a yield of 3,80%.
Below are the details of the 7 year Cyprus bond under the EMTB program:
- Date of execution of transaction: 19 July 2016
- Bond Effective Date: 26 July 2016
- Bond Maturity Date: 26 July 2023
- Denomination: € 1,000,000,000
- Interest Rate: 3.75%
- Yield: 3.80%
- Price: 99 698
Total bids received: € 2.462.698.000
Commenting on the outcome of the bids on Twitter, Minister of Finance, Mr. Harris Georgiades stated that response to the issue of the 7 year Cyprus bonds highlight the confidence of the investors in the Cyprus economy.
It is important to be noted that the bond will be listed under the English law and consequently there is no risk for investors for a “haircut” type bailout and losses.
The issue of the said bonds is in line with the framework of the Annual Financial Plan for 2016 as approved by the Minister of Finance and with the Medium-Term Management Strategy of Public Debt for 2016-2020.