IADB prices new global benchmark
The Inter-American Development Bank (IADB) has priced a new $4 billion five-year global benchmark. The issue pays a semi-annual coupon of 0.625% and matures on July 15 2025. It was priced with a spread of 17bp over mid-swaps, which equates to 22.4bp over 0.250% US Treasuries due May 2025 and carries a semi-annual yield of 0.631%.
This issue is IADB’s fourth US dollar fixed-rate benchmark of 2020 – IADB started the year with a $3 billion 5-year global issue in January, then a $2 billion 5-year sustainable development bond (SDB) in March, and a $4.25 billion 3-year SDB in April.
This latest $4 billion 5-year outing enjoyed strong investor momentum from the outset and generated final orders in excess of $5.75 billion across 117 investors. The strength of the order book was underscored by the high participation of Central Banks and Official Institutions, which accounted for 50.2% of the final allocation.
