NIB launches a new global USD 1.25bn benchmark

On 12 March 2015, NIB priced a new 3-year global USD 1.25 billion benchmark transaction. This is NIB’s first public benchmark this year and first in the 3-year tenor since February 2013. The issue has a final maturity of 19 March 2018; it pays a semi-annual coupon of 1.125% and has an issue price of 99.806% to give a spread of +13.25 basis points over the UST 1.00% due March 2018, equivalent to 9 bps below mid-swaps.

Citi, Deutsche Bank, Nomura and TD Securities were the joint lead managers of the transaction. ANZ, Standard Chartered and Credit Suisse acted as co-lead managers.

The bookbuilding process started with an initial price indication of -7 bps versus swaps. With strong indication of interest guided the book opened with guidance to the -8 bps area. The well oversubscribed orderbook allowed NIB to tighten one more basis point to the final spread of -9 bps.

Due to the high quality of the orderbook, the final deal size was upsized to USD 1.25 billion from an initial USD 1 billion target size. Nearly 50 investors participated in the transaction, with central banks and official institutions accounted for the largest share of demand, 55%. Bank treasuries and asset managers showed strong support, each representing 22% of the transaction. In terms of geography, EMEA was dominant at 51%, with investors based in the Americas and Asia representing 33% and 16% respectively.

Please find more information in the joint press release.

For more information, please contact
Jens Hellerup, Senior Director, Head of Funding and Investor Relations
Tel. +358 9 618 11401
mixIt(‘jens.helle’,’rup’,’nib.int’,”,”,’1426245470111-1′);jens.hellerup (at) nib.int