South Africa sends request for proposals for Eurobond

LONDON, March 28 (IFR) - South Africa has sent a request for proposals to banks for a Eurobond issuance, according to the country’s National Treasury.

The Treasury said it could not elaborate on the details of the process as it is still at an early stage.

South Africa plans to use optimism around the political changes in the country to tap international bond markets for up to US$3bn, one of the country’s top Treasury officials said earlier in March.

Tshepiso Moahloli, the chief director of liability management at the Treasury, told reporters it could potentially issue in currencies other than dollars and print in chunks if necessary rather than selling US$3bn all at once.

The sovereign raised US$2.5bn last year in its first transaction since being downgraded to junk status by S&P and Fitch. The sovereign is rated Baa3/BB/BB+ by Moody’s/S&P/Fitch. (Reporting by Robert Hogg; editing by Julian Baker)