THEIreland returns to the market for the first time since the 2010 bailout. This morning Dublin reopened its Treasury bond maturing in October 2017 (5,5% coupon). The operation consists in the placement, at a pre-determined price, of an additional amount with respect to an already existing bond.
The new tranche – higher than the 2 billion initially assumed – was placed at a yield equal to 250 basis points on the midswap rate, revised by 250-255 basis points, after an initial hypothesis in the area of 260 basis points.
The banks that handled the transaction were Barclays, Danske, Davy, RBS and Société Générale. THE rating of Ireland are currently Ba1 (Moody's), BBB+ (S&P) and BBB+ (Fitch).
