Italy Draws €103 Billion Bids for First Bonds Since Upgrade
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The Republic of Italy pulled in over €103 billion ($117.1 billion) of investor bids for an €11 billion dual-tranche bond sale on Wednesday, as the country capitalized on a recent credit upgrade and stable market conditions to lock in better pricing.
The sovereign priced the offering, split between a new €8 billion seven-year bond at a spread of 13 basis points over comparable debt, and a €3 billion 30-year inflation-linked bond tied to the euro-area HICP ex-tobacco index, at 36 basis points over similar debt, according to a person familiar with the matter. The spreads were tightened by 1 and 2 basis points respectively from earlier guidance and demand was slightly higher on the longer tranche at over €53 billion.