FINLAND - European pension funds scooped up nearly a fifth of Finland's recent €3bn (US$4.4bn) bond issuance, the State Treasury said.
In a release yesterday, the Treasury said the issuance was the first 15-year bond in the country's history, and the long maturity helped drive interest from institutional investors. Some 17% of the total was bought by pension funds.
Finland director of finance Teppo Koivisto said: "As was expected, the order book filled with offers from European and domestic pension funds."
In total, 160 investors, including banks and insurance companies, invested in the bonds. Finland and other Nordic countries represented 24% of investors, 21% came from the UK and Ireland, 18% from Germany and Austria, 15% from France, 10% from Italy, 8% from Benelux countries and the rest from other countries.
The 4% bonds mature on July 4, 2025 and were priced at 99.821. They offer a spread of 21 basis points to the Euroswap curve.
Barclays Capital, Deutsche Bank, HSBC and Nordea Markets were the joint book runners.
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