MADRID Nov 6 Spanish insurance company Mapfre
has seen strong demand for its 1 billion euro ($1.3
billion) bond issue, IFR Markets, a Thomson Reuters news and
market analysis service, reported on Tuesday.
The company had received over 2 billion euros of orders for
the three-year paper announced on Monday, including a number of
non-domestic accounts, IFR reported, as investor sentiment
towards southern European issuers improves.
Books for the bond opened with a coupon around 5.375
percent, IFR said, and were finalised at 5.125 percent as orders
poured in. The offer is Mapfre's first debt issue in five years.
Spain itself last paid an average yield of 3.227 percent for
a three-year bond on Oct. 18.
While investors had turned cold on issues from Spain and
other countries at the centre of the euro zone crisis, appetite
has picked up since European Central Bank president Mario Draghi
said he would take action to secure the future of the euro.
Banco Espirito Santo placed 750 million euros in
three-year unsecured bonds last week, marking the return of
Portuguese banks to the debt market.
($1 = 0.7823 euro)
(Reporting by Clare Kane; Editing by Dan Lalor)