0.50% coupon for new 10-year Dutch State Loan
Today, the coupon for the new 10-year benchmark bond of the Dutch State was set at 0.50%. The DSTA will launch the new bond, maturing on 15 July 2026, on Tuesday 22 March via a Dutch Direct Auction (DDA).
The DSTA aims to raise a minimum of € 4 - € 6 billion in the DDA. Through subsequent reopenings, the amount outstanding of the DSL will be increased to at least € 15 billion by the end of 2016. Liquidity will be guaranteed through a repo facility available to the Primary Dealers.
The terms and conditions of this bond are:
|
Maturity date |
15 July 2026 |
|
Coupon |
0.50% annually from 2016 (short first coupon) |
|
Issuance size |
€ 4 - € 6 billion |
|
Reference bond |
DBR 0.50% 15 February 2026 |
|
Initial spread guidance |
To be announced on Monday 21 March 2016 |
|
Auction date |
Tuesday 22 March 2016, starting at 10.00 CET |
|
Settlement date |
Thursday 24 March 2016 |
Specific to the DDA is the direct placement of the debt with end-investors. During the DDA, investors can place their bids via one or more Primary Dealers of their choice.
The book opens at 10.00 CET and closes 17.00 CET at the latest. The allocation will be announced as soon as possible after the closing of the book, but no later than 9:00 CET the following day. The pricing will occur between 30 minutes after allocation and 12.00 CET the following day. The DSTA aims to price on the auction day itself.
The DSTA reserves the right to postpone the DDA if market circumstances would not allow for an orderly auction.
Further information can be found in the investor presentation and in the DDA-special, which are both available on this website.