LONDON, Feb 6 (IFR) - Slovenia is gearing up to issue a
dual-tranche US dollar bond, and is looking to raise USD2bn to
USD3bn in five- and 10-year maturities, a government source said
The eurozone member, rated Ba1/A-/BBB+, completed a roadshow
with investors last week, but did not proceed with an issue due
to a sell-off in secondary markets which saw its outstanding
10-year US dollar bonds drop two points.
Having recouped some of those losses, the sovereign may come
to the market in coming weeks. It is still considering an option
to sell a new five-year bond alongside a reopening of its
outstanding 5.5% October 2022 bond, the source said, but that
would mean it could only likely raise USD1.5bn to USD2bn.
Slovenia hopes to emulate the success of its last dabble in
the US dollar bond market, when it raised USD3.5bn via a
dual-tranche five- and 10-year bond issue in May 2013.
It plans to borrow EUR3.5bn in 2014 to finance its budget
and to aid consolidation in its ailing banking sector, and may
also borrow as much as an additional EUR4.2bn to pre-finance
central government debt repayments in 2015 and 2016. The total
permitted borrowing, therefore, is EUR7.7bn this year.
Barclays, Goldman Sachs and JP Morgan were mandated to
arrange the roadshow in mid-January, ahead of the potential bond