Agence France Trésor announces today the launch of the new OATi 0.55% 1st March 2039. After the opening of the order book on Wednesday 7 early morning and its completion at midday, total demand reached close to €22bn, of which €3bn were allocated.
The price has been set at 98.57, reflecting a real yield of 0.646% at issuance.
Lead managers for this operation were Barclays, BNP Paribas, Crédit Agricole CIB, Deutsche Bank and J.P. Morgan. All the primary dealers were part of the syndicate.
The allocation illustrates the diversity and the quality of the investor base on which relies the French sovereign debt market. Close to 140 final investors took part in the transaction - a slight increase compared to the last syndicated OATi transaction. The syndicated amount has been allocated to banks ALM for 37%, official institutions for 28%, banks (excluding ALM) for 17%, insurers and asset managers for 13%, and hedge funds for 5%.
The geographical distribution reflects, accordingly with the structural demand from ALM of French banks for OATi, a strong demand from domestic investors and on a wider scale it shows a sustained demand from European investors for French indexed government bonds with long maturities, with the Eurozone representing 82% - France 63%, Germany 6%, Italy 3% and other Eurozone 10%. The other investors come from the United Kingdom 14%, other European countries 2% and others 2%.
Further details The settlement date for the OATi is 14 June 2023. The bond will be strippable and quoted on Euronext Paris. It will be tapped depending on market demand to guarantee sufficient market liquidity.Contact: +33 1 40 04 15 50