UPDATE 1-US investors eyed as Greece markets new bond
(Adds emerging markets investor quote)
By Sarka Halas
LONDON, April 9 (IFR) - Greece's announcement that it is taking indications of interest for a five-year benchmark-sized euro-denominated bond just as the US bond market opened supports widespread speculation that US investors will feature prominently in the landmark deal.
Bankers expect big US emerging market accounts to invest in the C rated sovereign, taking advantage of the likely attractive yield.
Speculation has been rife for days over the exact timing of the deal.
Now that is out of the way, there are two questions on everyone's lips: what will the price of the deal look like and who will buy it?
"No question there's massive upside in this deal. Greece should be trading 25bp wide of Portugal," said Hans Humes, New York-based CEO of Greylock Capital.
"It's priced to be a blowout as a vote of confidence in Greece."
Demand for the deal is big. The orderbook is already more than 11bn based on price talk of 5%-5.25%. Continuación...