0.75% 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 0.75%.

The DSTA will launch the new bond on Tuesday 13 March via a Dutch Direct Auction (DDA). The bond matures on 15 July 2028. The DSTA aims to raise € 4 to 6 billion in the DDA. Through subsequent re-openings the outstanding amount of the DSL will be increased to a minimum of € 12 billion before the end of 2018. Liquidity will be guaranteed through a repo facility available to the Primary Dealers (PDs).

The terms and conditions of this bond are:

Maturity date

15 July 2028

Coupon

0.75% annually from 2018 (short first coupon)

Issuance size

€ 4 - 6 billion

Reference bond

DBR 0.50% 15 February 2028

Initial spread guidance      

To be announced on Monday 12 March 2018

Auction date

Tuesday 13 March 2018, starting at 10:00 CET

Total fees PDs

€ 6.5 million (incl. advisory fees)

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 PDs 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 morning. The pricing will occur between 30 minutes after allocation and 12:00 CET the day after the DDA. The DSTA aims to determine the price on the auction day itself. Settlement takes place two days after pricing.

The DSTA reserves the right to postpone the DDA if circumstances would not allow for an orderly auction. Further information can be found in the investor presentation, which is available on this website.