July 22, 2009
The Republic of Hungary launched and priced its first international bond in 2009 on July 17.
The EUR 1 billion 5-year bond, priced at midswap plus 395 basis points, pays a fix coupon of 6.75 pct. The deal was managed by Citigroup and ING.
According to the press-release of the Government Debt Management Agency the transaction attracted significant demand (more than 190 investors). The huge oversubscription enabled the issuer to price the bond through the original price guidance.
The proceeds will be used for general financing purposes.
