SINGAPORE: Singapore investment company Temasek Holdings has priced its 10.5-year and 30-year US denominated bonds.
All in, Temasek expects to sell US$1.5 billion worth of bonds in the two issues.
In a statement
released on Tuesday, Temasek said the 10.5-year bonds will be priced at a
spread of 100 basis points over the 10-year benchmark US Treasuries,
with a yield to maturity of 2.466 per cent per annum.
The investment company is selling about US$1 billion worth of the 10.5 year bonds.
Temasek
will also sell US$500 million worth of 30-year bonds, priced at a
spread of 95 basis points over the 30-year benchmark US Treasuries, with
a yield to maturity of 3.502 per cent per annum.
A source close to the deal told Channel NewsAsia that the two issues were 4.5 times oversubscribed.
Benny
Koh, Temasek's treasury head, said: "We are pleased with the strong
support from our global investor base. Both issues were oversubscribed,
with robust demand from high-quality investors."
The coupon rate
for the 10.5-year tranche is 2.375 per cent per annum, while that for
the 30-year tranche is 3.375 per cent per annum.
The Temasek bonds are rated AAA by S&P and Aaa by Moody's.
The offering is scheduled to close on July 23, 2012.
- CNA/wm/al