NTMA raises €3.5 billion from sale of new 10-year benchmark bond
13 January 2022 - The National Treasury Management Agency (NTMA) has today raised €3.5 billion through the syndicated sale of a new 10-year benchmark Treasury Bond maturing in October 2032. The funds were raised at 0.387%.
There was strong demand from a diversified investor base for today's transaction. The total order book was in excess of €27 billion and included over 180 individual accounts.
Ireland reached a broad audience of international investors. The largest distribution went to the UK at 30%, followed bv Italy at 13% and the Nordics at 13%. Germany/Austria/Switzerland accounted for 11%, France/Benelux 10%, followed by Spain/Portugal at 7% and Ireland at 7%. Other European countries together accounted for 3%. The Americas and rest of the World took 6%.
The main investor categories were banks 42%, followed by fund managers 27%, official institutions 17%, hedge funds 8%, and pension & insurance 6%.
Frank O’Connor, NTMA Director of Funding and Debt Management, said:
“Today’s transaction demonstrated continued strong demand for Irish sovereign debt from a broad base of investors.
The amount issued reflects our lower funding range of €10-€14 billion for 2022 - significantly below our borrowing in 2021.
Ireland’s improving fiscal position and our strategy of pre-funding liabilities has left us with substantial cash balances and considerable flexibility in meeting our funding needs.”