Bulgaria sells 102 mln euro T-bonds at 3.54% yield

Sofia: Bulgaria’s finance ministry raised 200 million levs ($110 million/102.3 million euro) through reopening an issue of six-year fixed-rate Treasury bonds, as the issue was oversubscribed, the central bank said.

The government securities were placed at a weighted average annual yield of 3.54%, the Bulgarian National Bank (BNB) said in a statement on Monday.

The T-bonds have an annual coupon of 3.25% and will mature on May 15, 2030.

In a separate statement, the finance ministry said banks acquired 70.2% of the new government debt issuance, followed by insurance companies with 16.5%, pension funds with 10%, guarantee funds with 3%, investment intermediaries with 0.2% and other investors with 0.1%.

“The reported spread as compared to analogous German Bunds is 100 basis points,” the ministry noted.

The finance ministry will offer additional amounts of bonds from this issue in the future, the BNB said.

At the previous auction of the same issue held last month, the finance ministry sold 200 million levs worth of government securities at a weighted average annual yield of 3.35%.