Bulgaria picks four banks to lead manage €2bn Eurobond issues

By bne IntelliNews February 19, 2016

The Bulgarian ministry of finance has selected JP Morgan, Citibank, Unicredit and BNP Paribas as the lead managers for €2bn Eurobond issues planned for March, Capital Daily reported. The ministry invited 21 institutions to submit offers to manage the sale.

In March 2015, Bulgaria raised €3.1bn through three euro-denominated Eurobond issues, its largest debt sale ever. The Balkan country sold €1.25bn of 7-year bonds at a yield of 2.179%, €1bn of a 12-year tranche at 2.732%, and €850mn of 20-year bonds at 3.264%. Citigroup, HSBC, Societe Generale, and Unicredit Bank managed the bond sales. The three tranches were priced at the tight end of the price guidance, and combined demand was reported at €5.5bn.

In November, Bulgaria reopened the 20-year Eurobond issue, raising €50mn at a yield of 3.987%, well above the 3.264% achieved in March, when the issue was first launched.

Meanwhile, next month the maturities of the tranches will be 10 years and/or more. Through the Eurobonds the ministry will reach the full-year ceiling for new external debt issues of BGN3.9bn (€2bn). The total new debt amount for this year is limited to BGN5.3bn, to be used for financing the budget deficit, repaying maturing debt and, if necessary, supporting recovery and restructuring programmes in the banking sector.

Bulgaria’s government debt totalled €11.61bn at end-December, equal to 26.4% of the estimated 2015 GDP. External government debt stood at €7.89bn. The country is rated Baa2 by Moody’s, BB+ by S&P and BBB- by Fitch.

Related Articles

RBI doubles net profit y/y in Q1 as Russian business recovers

Raiffeisen Bank International (RBI), the second largest bank operating across Central and Eastern Europe by assets, reported that net profit almost doubled year-on-year to €220mn in the first ... more

Bulgarian prosecutors charge former foreign minister in procurement case

Bulgaria's specialised anti-corruption unit has charged former Foreign Minister Daniel Mitov with violating the laws on public finance and public procurement, ... more

Bulgaria’s antitrust regulator allows BAT’s €100mn acquisition of Bulgartabac assets

The Commission for Protection of Competition (CPC) has allowed the €100mn acquisition of assets of Bulgaria’s Bulgartabac Holding by British American Tobacco (BAT), a notice on CPC’s website ... more

Register here to continue reading this article and 2 more for free or purchase 12 months full website access including the bne Magazine for just $119/year.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

To continue viewing our content you need to complete the registration process.

Please look for an email that was sent to with the subject line "Confirmation bne IntelliNews access". This email will have instructions on how to complete registration process. Please check in your "Junk" folder in case this communication was misdirected in your email system.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

If you have any questions please contact us at sales@intellinews.com

Subscribe to bne IntelliNews website and magazine

Subscribe to bne IntelliNews website and monthly magazine, the leading source of business, economic and financial news and commentary in emerging markets.

Your subscription includes:
  • Full access to the bne content daily news and features on the website
  • Newsletters direct to your mailbox
  • Print and digital subscription to the monthly bne magazine
  • Digital subscription to the weekly bne newspaper

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

bne IntelliNews
$119 per year

All prices are in US dollars net of applicable taxes.

If you have any questions please contact us at sales@intellinews.com

Register for free to read bne IntelliNews Magazine. You'll receive a free digital subscription.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

IntelliNews Pro offers daily news updates delivered to your inbox and in-depth data reports.
Get the emerging markets newswire that financial professionals trust.

"No day starts for my team without IntelliNews Pro" — UBS

Thank-you for requesting an IntelliNews Pro trial. Our team will be in contact with you shortly.

Dismiss