ECONOMY

Greece sets initial price target for 10-yr bond issue at 4.125 pct

greece-sets-initial-price-target-for-10-yr-bond-issue-at-4-125-pct

Greece has set the initial price target for a new ten-year bond, its first such issue in a decade, at the area of 4.125 percent, according to a bourse filing on Tuesday.

This is the second debt sale since Greece exited its third international bailout in August and the first 10-year bond in a decade.

In a regulatory filing on Monday, Greece said it has mandated six international banks as joint lead managers for the issue. The banks are BNP Paribas, Citi, Credit Suisse, Goldman Sachs, HSBC and JP Morgan.

Greece’s benchmark 10-year government bond yields dropped to their lowest since 2006 on Monday after Moody’s raised its rating on Friday to B1 from B3, citing the effectiveness of the country’s reform program. [Reuters]