Saudi Arabia launches US$17.5bn bond offering

 19 Oct 2016 - 16:18

Saudi Arabia launches US$17.5bn bond offering


LONDON: Saudi Arabia has launched a US$17.5bn bond deal comprising five, 10 and 30-year bonds, according to a lead. 
A US$5.5bn five-year note has launched at 135bp over Treasuries, a US$5.5bn 10-year at plus 165bp, and a US$6.5bn 30-year at plus 210bp.
Each note will price at the tight end of guidance, with the five and 30-year bonds coming 25bp inside initial levels. The 10-year will price 20bp inside initial price thoughts. 

The total orderbook at the last update was about US$67bn. 
The notes are expected to be rated A1 by Moody's and AA- by Fitch.

Pricing will be later today. Citi, HSBC and JP Morgan are the global coordinators.