EFSF adds ultra-long point to curve with 30 year syndication

By Tessa Wilkie
24 Jul 2014

The European Financial Stability Facility this week sold its first 30 year syndication — becoming the first supranational this year to go so far out the curve with a benchmark. Despite the deal not hitting the 2.5% yield target for real money investors there was an optically large concession to the curve and demand topped €6bn.

When the issuer announced the mandate for a 30 year deal of minimum €1bn size on Monday, market participants expected a smaller benchmark deal, allowing the issuer room to take its last issuance window in the second week of September.

But with a book of around €6.2bn, ...

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