Successful USD 1.25 billion Benchmark
On Tuesday 4th June, KBN successfully priced a new USD 1.25 billion 3-year benchmark.
06.06.2024
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News
With books 2.7 times oversubscribed and 62 investors participating, KBN achieved its tightest US Dollar benchmark pricing outcome versus US Treasuries since October 2021.
- Another well placed USD benchmark transaction, a big thank you to the Leads for a job well done and great to see the bond perform on the break, as it should. KBN funding program is now over 60% done for the year, says Thomas Møller, Head of Funding & IR at KBN.
The transaction enjoyed particularly strong support from Central Banks and Official Institutions, who took 73% of the final allocations.
Highlights:
- With a re-offer spread of SOFR MS +32bps / CT3 +10.8bps, KBN achieved its tightest US Dollar benchmark pricing outcome versus US Treasuries since October 2021.
- The depth of investor demand enabled KBN to tighten the final reoffer spread by 3bps from IPTs, with books 2.7 times oversubscribed and 62 investors participating.
- Geographically diverse investor participation, with bonds placed in EMEA (42%), Americas (32%), and APAC (26%).
- This new issue marks KBN’s third outing in the USD market in 2024. The issuer’s previous Benchmark transaction in the currency was a 5-year US Dollar Benchmark priced in January 2024, followed by a 4-year US Dollar FRN priced in February 2024.
