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Lithuania borrows the record amount in the international markets

Date

2020 04 28

Rating
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Today Lithuania borrowed EUR 2 bn in the international capital markets by issuing two Eurobond issues of different maturities, the 5-year Eurobond of EUR 750 mn face value and 10-year Eurobond of EUR 1,250 mn face value.  This record amount received for Eurobonds will be used to provide liquidity for the state treasury.

‘We are considered as a reliable and very responsible partner in the world. This euro-denominated amount is the largest one ever borrowed in the country’s history. Borrowing in the foreign markets is one of the directions of our balanced borrowing. This year, we have managed to conclude contracts with international financial organizations for 1.5 billion; also, we have borrowed nearly EUR 800 million in the domestic market’, Vilius Šapoka, the Minister of Finance, said.

A coupon of 0.25 per cent annual interest will be paid for the 5-year Eurobond of EUR 750 mn face value . The Bonds have been issued at a yield of 0.345 per cent and issue price equal to 99.530 per cent of their face value. The settlement for the Eurobond will take place on 6 May 2020. The Eurobonds will mature on 6 May 2025.

Lithuania will pay 0.750 per cent annual interest for the 10-year issue (EUR 1.25 billion face value).The Bonds have been issued at a yield of 0.829 per cent and issue price equal to 99.245 per cent of their face value. The settlement for the Bonds will take place on 6 May 2020. The Eurobonds will mature on 6 May 2030.

The transaction was lead-managed by BNP Paribas, Citi and Erste Group.

 

 

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