state-bank-of-india-prices-bond-in-jittery-market

State Bank of India prices bond in jittery market

Observers say the SBI deal performs well considering the glut of Indian paper and Thursday's challenging market conditions.
State Bank of India SBI, acting through its Nassau branch, priced a $225 million BB-rated Standard and PoorÆs hybrid tier-1 perpetual note yesterday. The offering, which comes under the bank's $5 billion MTN program, priced at 137bp over mid- swaps with a coupon of 7.14% via lead managers Citi and JPMorgan. The deal closed as Asian stocks fell on Thursday after a rebound in US bond yields.

Bookrunners released an initial guidance of 135bp-140bp over mid-swaps yesterday morning, which the leads later revised to 135bp-137bp. After generating an order book of $420 million, the deal priced at the mid-range, at the equivalent of 198.1bp over 10-year Treasuries. The paper is callable in...
¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222