The European Financial Stability Facility (EFSF), the eurozone's rescue fund, raised 3 billion euros (3.17 billion U.S. dollars) on Thursday in a six-year bond sale in its first issue of the year.
"Very strong interest, mainly from the private sector, enabled us to issue at a very attractive level for our beneficiary member states," said Siegfried Ruhl, EFSF head of funding.
The spread of the zero-coupon bond was fixed at mid-swaps minus 21 basis points, implying a re-offer yield of minus 0.007 percent.
Lead managers for the transaction were Barclays, HSBC, and Societe Generale CIB. Total order books were in excess of five billion euros.
The EFSF is a special-purpose vehicle to raise funds needed to provide loans to countries in financial difficulties. Its issues are backed by guarantees given by euro area member states of up to 724 billion euros. (1 euro=1.056 U.S. dollar)
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