ESM Raises €2 Billion In New 15-Year Bond

The European Stability Mechanism (ESM) raised €2 billion in a new 15-year benchmark bond on Tuesday, meeting more than half of its funding needs for the second quarter.
 
“Our first new ESM bond in 2018 received strong support from the market. The amount of €2 billion ensures good liquidity for this new 15-year line. It also allows us to skip the next announced issuance window (28 May) and use the week of 11 June to raise the remaining €1.5 billion for this quarter,” said Siegfried Ruhl, ESM Head of Funding and Investor Relations.
 
The spread of the 1.20% bond, which will mature in May 2033, was fixed at mid swaps minus 16 basis points, for a reoffer yield of 1.236%. Order books were in excess of €4.3 billion.
 
Bookrunners for the deal were Citi, Crédit Agricole CIB and Deutsche Bank.