Press release -
Kommuninvest issues USD 1.25 billion in new bond
Kommuninvest today completed its fifth issue this year within the USD benchmark programme. USD 1.25 billion was issued in a new bond which matures on 2023-08-09.
This means that Kommuninvest so far in 2020 has issued a total of USD 6 billion within this programme. Since the end of April, the USD market has presented favourable conditions and a pricing well in line with the SEK market.
Investor interest in the new bond was strong. The order book included 57 investors. The bond was priced 4 basis points above mid-swaps and 11.1 basis points above corresponding US Treasuries.
- The USD market, with a very active interest from leading global investors, has been an attractive source of funding for us throughout the year. This translates into good loan conditions for the welfare investments that municipalities and regions make in Sweden, says Tobias Landström, Deputy Head of Debt Management at Kommuninvest.
Kommuninvest has so far in 2020 borrowed around SEK 131 billion. Since the latest revision in October, the funding forecast for this year is SEK 130 billion.
Please find attached more detailed Press Points.
For further information
Tobias Landström, Deputy Head of Debt Management, tel: +46 705 86 78 51, e-mail: tobias.landstrom@kommuninvest.se
David Ljung, Head of Communications, tel: +46 73 068 45 45, e-mail: david.ljung@kommuninvest.se
Topics
Kommuninvest is a municipal cooperation for efficient and sustainable financing of housing, infrastructure, schools, hospitals etc. Together, we get better loan terms than each one individually. Since its inception in 1986, the Kommuninvest collaboration has helped lower the local government sector’s borrowing costs by many billion kronor. Currently, 292 municipalities and counties/regions are members of this voluntary cooperation. With total assets exceeding SEK 450 billion (USD ~47 billion), Kommuninvest is the largest lender to the local government sector and one of the ten largest credit institutions in Sweden. The head office is located in Örebro.
