SINGAPORE: Singapore investment company Temasek
Holdings has priced its 10.5-year and 30-year US denominated
bonds.
All in, Temasek expects to sell US$1.5 billion worth
of bonds in the two issues.
In a statement released on Tuesday, Temasek said the
10.5-year bonds will be priced at a spread of 100 basis points over
the 10-year benchmark US Treasuries, with a yield to maturity of
2.466 per cent per annum.
The investment company is selling about US$1 billion worth of the
10.5 year bonds.
Temasek will also sell US$500 million worth of 30-year bonds,
priced at a spread of 95 basis points over the 30-year benchmark US
Treasuries, with a yield to maturity of 3.502 per cent per
annum.
A source close to the deal told Channel NewsAsia that the two
issues were 4.5 times oversubscribed.
Benny Koh, Temasek's treasury head, said: "We are pleased with the
strong support from our global investor base. Both issues were
oversubscribed, with robust demand from high-quality
investors."
The coupon rate for the 10.5-year tranche is 2.375 per cent per
annum, while that for the 30-year tranche is 3.375 per cent per
annum.
The Temasek bonds are rated AAA by S&P and Aaa by
Moody's.
The offering is scheduled to close on July 23, 2012.
- CNA/wm/al