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Two-part trade opens new investor base for the LatAm sovereign
Deal reflects ‘new paradigm’ in SSA market where spreads to US Treasuries grind ever tighter
◆ Sovereign serves up annual international deal ◆ Priced at only 4bp over US Treasuries ◆ Recent KfW deal was 'good template'
EU’s second half funding announcement imminent, downside risk highlighted
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◆ Large deal kickstarts FY 2025-26’s linker programme ◆ Shorter maturity caters to investor demand ◆ ‘Consistent, business-as-usual approach’ celebrated by markets
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Slovenia had penned in an SLB debut for June
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◆ Sovereign bags another huge book ◆ Rare five year paired with 12 year green tap ◆ €59bn raised from four syndications this year
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Higher volume, more tightening during execution and lower new issue premiums were recorded
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Investors nervous about duration and fear steepening, but new opportunities could open up for issuers
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Modestly sized euro and dollar benchmarks are being prepped for next week