By Xinhua,
Manila : The Asian Development Bank (ADB) Tuesday said it had raised $1 billion for the three-year global benchmark bond issue to return to the US dollar bond market.
The bonds, with a coupon rate of 2.125 percent per annum payable semiannually and a maturity date of March 15, 2012, were priced at 99.779 percent to yield 92.25 basis points over the 1.125 percent US Treasury note due January 2012, ADB said in a press release.
The transaction was lead-managed by Daiwa SMBC, Goldman Sachs, Morgan Stanley and UBS. Proceeds from the issue will go into ADB’s ordinary capital resources for use in its non-concessional operations, the bank said.
“We are very satisfied with the transaction and the swift book-building process, particularly amidst a challenging market backdrop,” said ADB Treasurer Mikio Kashiwagi.
“There was healthy demand from high-quality investors, resulting in an oversubscribed book close to $1.2 billion.”
About 47 percent of the bonds were placed in Europe, the Middle East and Africa, 36 percent in Asia and 17 percent in America. By investor types, around 58 percent were bought by central banks and financial institutions, 24 percent by funds, asset managers and insurance, and 18 percent by banks.
ADB said it plans to raise around $9 to 10 billion in 2009.