LONDON (MNI) – Slovakia’s new E1.0 billion five-year benchmark bond
priced Wednesday was sold mainly to banks and investors in Austria,
sources familiar with the deal told Market News International.

The syndicated offering was the first new international
euro-dominated bond issued by a Eurozone member this year.

Banks took 57%, fund managers 21%, central banks 10%, insurance and
pension funds 5% and others 7%. In terms of geographical breakdown,
Austria took 38%, Germany 13%, Slovakia 12%, Asia 10%, BeNeLux 6%, CEE
6%, UK and Ireland 5%. Italy 3%, Switzerland 3% and others 4%.

Slovakia priced the bond at mid-swaps +305 basis points at a
re-offer price of 99.690 and a re-offer yield of 4.696%. The coupon on
the issue is 4.625%. The bond is expected to be reopened again through
domestic auctions or a syndicated transaction at a later stage,
according to sources.

The Bratislava-based debt agency Ardal is planning to issue at
least three new bonds this year, including a three-year and a 10-year,
depending on market conditions, director Daniel Bytcanek previously told
MNI.

“Another bond line can be opened if required by investors,” said
Bytcanek, adding that bond auctions will be held on the monthly basis in
2012.

— London newsroom: 00 44 20 7862 7494; email: nshamim@marketnews.com

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