Kingdom of Sweden lends 1 billion dollar to the Riksbank

21 March 2013 - Press release

Kingdom of Sweden issues USD 1 billion (approximately SEK 6.5 billion) in a new three-year benchmark to a yield of 0.486 per cent. The proceeds are part of the rollover of earlier on-lending to the Riksbank.

The deal was oversubscribed and the final book size exceeded USD 1.2 billion.

–Today's deal once again shows that Sweden can borrow on very favorable terms compared to other major sovereigns in the euro area, says Maria Norström, Head of Funding.

Of the total funding requirement of foreign currency bonds equivalent of SEK 137 billion, SEK 73 billion have now been covered. SEK 64 billion of bond issuance remains. The refunding concerns earlier on-lending to the Riksbank.

Central banks bought 65 per cent of the deal. Banks represented 19 per cent while the balance went to asset managers and private banks. Around 30 per cent of the bond was sold to Asian investors, 9 per cent to the Nordic region and 25 per cent to other European countries. The remainder was placed in the Middle East and in the Americas.

Terms and conditions
Issuer Kingdom of Sweden
Size USD 1 billion
Coupon  0.375 % payable s.a.
Maturity date 2016-03-29
Price 99.670 %
Yield 0.486 % s.a.
Spread versus USD mid swaps Minus 6 basis points
Spread versus US benchmark  11.35 basis points
Lead managers Barclays, Deutsche Bank, HSBC

For more information, please contact:
Anna Sjulander, Deputy Head of Funding, +46 8 613 47 77