New debt notes

$600 million in bonds maturing in 2017, $350 million maturing in 2026

The government has successfully completed the marketing of two Eurobond issues totaling $950 million. Byblos Bank and Bank of America Merrill Lynch co-managed the issue.

The first tranche was issued in $600 million maturing in October 2017 at an issue price of $100 and a five percent coupon rate. The second tranche totaled $350 million maturing in November 2026 at an issue price of $102.11 and a coupon rate of 6.6 percent.

The Ministry of Finance (MoF) had initially planned to issue $700 million worth of Eurobonds to swap bonds maturing in March and April. Bonds maturing in March, April, and September 2012 were partially swapped last year.

The MoF said last month that it will issue $5 billion worth of Eurobonds and treasury bills to refinance public debt maturing in 2012.

Gross public debt stood at $53.64 billion at the end of 2011, almost two percent higher than end-2010 levels. The Central Bank was the highest subscriber to Eurobonds and treasury bills during 2011, capturing 50 percent of total subscriptions followed by commercial banks with 31 percent, and public institutions with 17 percent.
reported by Hanadi Chami