Preliminary initial spread guidance for new 7-year Dutch State Loan +10.5 to +13.5 basis points

Tomorrow, 11 October 2017, the DSTA will launch its new 7-year bond, the 0% DSL 15 January 2024, via Dutch Direct Auction (DDA). Today, the preliminary initial spread guidance vis-à-vis the reference bond was set at +10.5 to +13.5 basis points.

The DSTA reserves the right to adjust the spread guidance before opening the book if market circumstances change. During the auction the spread guidance may also be adjusted. The spread guidance will become final no later than 15:00 CEST tomorrow.

The terms and conditions of the bond are:

Maturity date

15 January 2024


0% annually

Issuance size

€ 5 - € 7 billion

Reference bond

DBR 1.75% 15 February 2024

Initial spread guidance

+10.5 to +13.5 basis points

Auction date

Wednesday 11 October 2017, starting at 10:00 CEST


As soon as possible after the closing of the book; no later than Thursday 12 October 2017 at 09:00 CEST.

Pricing Window

From 30 minutes after allocation; no later than Thursday 12 October 2017 at 12:00 CEST

The target volume of the DDA is € 5 to € 7 billion. Through subsequent re-openings, the amount outstanding of the bond will be increased to at least € 15 billion within one year after this DDA. Liquidity in this bond will be guaranteed through a repo facility available to the Primary Dealers.

The book opens tomorrow at 10:00 CEST and closes latest at 17:00 CEST. The allocation and the cut off-spread will be announced as soon as possible after the closing of the book, but no later than 09:00 CEST the following day. Allocation is strictly based on pre-announced rules in order to ensure a fair and fully transparent auction. The DDA is a uniform price auction. Pricing will occur between half an hour after allocation and 12:00 CEST the following day. The DSTA aims to determine the price on the auction day itself. Settlement takes place two days after pricing.

The DDA rules are available on the website ( and on Bloomberg (DDA <GO>).