By Cristal Cody
Tupelo, Miss., July 26 – International Bank for Reconstruction and Development (Aaa/AAA) (World Bank) priced C$1 billion of 2.5% sustainable development bonds due Aug. 3, 2023 at 99.613 on Thursday in the agency’s second Canadian dollar-denominated deal of the year, according to a news release.
BMO Nesbitt Burns Inc., Scotia Capital Inc. and TD Securities Inc. were the bookrunners.
The deal had a final order book of C$1.2 billion from more than 40 investors, with the bulk placed with domestic Canadian institutional investors.
Banks, bank treasuries and corporates purchased 44% of the notes, while asset managers, insurance and pension fund investors bought 39% and central banks and official institutions took 17% of the deal.
By distribution, 59% of the notes were purchased by investors in Canada, 28% by investors in Europe and the Middle East, 10% by investors in the United States and 3% by investors in Asia.
The notes will be listed on the Luxembourg Stock Exchange.
Proceeds will be used for sustainable development projects that highlight the benefits of investing in the health and nutrition of women, adolescents and children. World Bank said since the initiative was launched in June, it has raised nearly $1 billion from institutional and retail investors in Europe and Japan focused on those issues.
World Bank issues $50 billion to $60 billion annually in bonds for sustainable development.
The global development financing cooperative is based in Washington, D.C.
| Issuer: | International Bank for Reconstruction and Development (World Bank)
|
| Amount: | C$1 billion
|
| Description: | Sustainable development bonds
|
| Maturity: | Aug. 3, 2023
|
| Bookrunners: | BMO Nesbitt Burns Inc., Scotia Capital Inc. and TD Securities Inc.
|
| Coupon: | 2.5%
|
| Price: | 99.613
|
| Trade date: | July 26
|
| Settlement date: | Aug. 3
|
| Ratings: | Moody’s: Aaa
|
| S&P: AAA
|
| Distribution: | Canada
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
