Dominican Republic launches US$2.5bn two-part bond

martes 20 de enero de 2015 15:47 GYT

By Davide Scigliuzzo

NEW YORK, Jan 20 (IFR) - The Dominican Republic (B1/B+/B+) is set to raise US$2.5bn through the sale of 10- and 30-year international bonds on Tuesday, according market sources.

The sovereign launched a US$1bn 10-year note at a final yield of 5.5% and a US$1.5bn 30-year at 6.85%, in line with official guidance released earlier in the day.

Final terms came 15bp inside initial price thoughts of 5.65% area and 7.0% area respectively.

Proceeds will be used for general purposes, including the repurchase or retirement of domestic and external indebtedness.

Bank of America Merrill Lynch and JP Morgan are the bookrunners on the transaction, while Banreservas is co-manager. (Reporting by Davide Scigliuzzo; Editing by Marc Carnegie)