Greece is preparing its first bond offering since the European Union agreed to provide financial assistance to help the troubled nation deal with its staggering debt load. The seven-year bonds will carry a six percent yield and are expected to be sold about 310 basis points more than the benchmark, mid-swap rate.
“This looks a lot more confident than their other recent issues, which came with a decent discount,†said Toby Nangle, director of asset allocation at Barings Investment Services Ltd. in London. “The market’s been expecting 5 billion euros, so if they come with less than that, it’s probably a signal the demand wasn’t there.â€Â
Source: Bloomberg
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