COLOMBO, April 8 Sri Lanka sold a $500 million,
five-year sovereign bond at a yield of 5.125 percent, the island
nation's central bank said on Tuesday.
It was the second eurobond the $67 billion economy sold this
year. In January, it sold $1 billion, five-year sovereign bond
at a yield of 6 percent.
The Indian Ocean island nation's 2014 budget approved a $1.5
billion overseas borrowing to finance some infrastructure
The latest bond issue, the seventh by Sri Lanka since the
first eurobond in 2007, was priced at a yield of 5.125 percent
after a 5.5 percent initial price guidance.
"This tighter yield reflects the continued confidence that
international investors have placed in the sovereign bond
issuance of Sri Lanka," the central bank said in a statement.
Citigroup, HSBC, and Standard Chartered Bank
were the joint lead managers and bookrunners for the
bond issue, which was oversubscribed by 8.3 times.
Sri Lanka's previous five-year issuances in 2007, 2009
and January 2014 were priced at
yields of 8.25 percent, 7.40 percent and 6.00 percent
(Reporting by Shihar Aneez and Ranga Sirilal; Editing by