Armenia nips in with ‘expensive’ dollar bond

AdobeStock_Armenia_dollars_575x375_27Jan2021
By Mariam Meskin
27 Jan 2021

The Republic of Armenia sold a $750m 10 year bond on Tuesday, which market participants said was “expensive” for investors, with a negative new issue premium of 10bp.

The $750m 3.6% February 2031 Reg S/144A bond was priced at 97.738 to yield 3.875%, or 280.2bp over mid-swaps.

On Tuesday afternoon, bookrunners Citigroup, HSBC and JP Morgan set guidance at 4.125%-4.25%, tightened from initial price thoughts of 4.375%-4.5%.

Final books were over $2.5bn.

Although Armenia hit the world’s headlines in September, ...

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