Kingdom of Sweden issues dollar at record low level

11 September 2014 - Press release

Kingdom of Sweden sold USD 2.0 billion (approximately SEK 14 billion) of a new two-year bond at a yield of 0.681 per cent. The proceeds will be used to refinance maturing on-lending to the Riksbank.

The transaction was priced at mid-swaps minus 12 basis points. No sovereign issuer has so far this year been able to price as tight to the swap curve in dollar. The orderbook was oversubscribed quickly, totalling around 4 billion dollar.

– Market conditions were positive and demand for our bonds strong. This resulted in attractive terms, says Maria Norström, Head of Funding at the Swedish National Debt Office.

Terms and conditions

Issuer

Kingdom of Sweden

Size

USD 2.0 billion

Coupon

0.625 % s.a.

Maturity date

19 Sep 2016

Price

99.889 %

Yield

0.681 % s.a.

Spread versus USD mid swaps

-12 basis points

Spread versus US benchmark

12.9 basis points

Lead managers

Credit Suisse, Goldman Sachs International, J.P. Morgan

Including today’s sale, the Debt Office has issued an equivalent of SEK 62 billion in foreign-currency bonds this year. The total funding requirement for 2014 is SEK 83 billion. Of the remaining issuance, SEK 19 billion regards refinancing of the on-lending to the Riksbank.

Distribution by investor and region

 

 Distribution by investor Distribution by region

 

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