DSTA announces auction date, maturity date, reference bond and target volume for new 10-year benchmark bond
In its Outlook 2019, the DSTA announced that it would issue a new 10-year benchmark bond. The DSTA indicated that the window for launching this bond would be February/March 2019.
Today the DSTA announces the characteristics for the issuance of this bond. The auction date, maturity date, reference bond and target volume are as follows:
|
Auction date |
Tuesday 12 February 2019, start 10:00 CET |
|
Maturity date |
15 July 2029 (short first coupon) |
|
Reference bond |
DBR 0.25% 15 February 2029 |
|
Target volume |
€ 4 - € 6 billion |
|
Pricing |
Aim to price on the auction day, but no later than 12:00 CET on 13 February 2019 |
|
Settlement date |
Two days after the issuance price is set |
|
Coupon |
To be announced on Friday 8 February 2019 |
|
Initial spread guidance |
To be announced on Monday 11 February 2019 |
In case of unforeseen conditions, the DSTA reserves the right to change the date of auction.
The auction will take place via a Dutch Direct Auction (DDA). Specific to the DDA is the direct placement of 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 at 17:00 CET at the latest. The allocation will be announced as soon as possible after the closing of the book. The pricing will occur at the earliest 30 minutes after allocation and no later than 12:00 CET on the following day. The DSTA aims to price on the auction day itself. More information on the DDA auction methodology can be found on english.dsta.nl.