Guarantor: Hellenic Republic
Rating: A1/A+/A+
Amount: Eu200m
Maturity: October 29, 2015
Issue price: 100.225
Coupon: 4.68%
Launched: Wednesday October 22
Joint books: BBVA, DZ Bank, HSBC
Bookrunners' comments:
DZ Bank - For us this was a relatively simple deal, given that demand was driven by a strong lead order. It sold out almost immediately after the mandate was announced with just one phone call.
The deal came at slightly above par on issue price, which is where the lead banks made their profit, and there was no re-offer price.
Hellenic Railways come to market only once or twice a year. The last issue was offered in March of this year and the pricing on these deals is always aggressive. Hellenic Railways is guaranteed by the Greek government, so pricing is seen as close to government levels.
HSBC - This was a bought deal. We sold our allocation even before the bonds were priced and so did the other lead managers.
The paper is guaranteed by Greece and is one of the cheapest zero risk weighted credits.
The bonds were sold on a large ticket to a mortgage bank in Germany and a small ticket to an insurance company in Germany. The bonds were sold at the 1evel of mid-swaps plus 12bp.
