- largest order book ever of highest quality and a total volume of over USD 6.7 billion with more than 100 investors
- price tightening by 3 basis points during book building process to price at SOFR Mid-Swaps +34 basis points
OeKB issues its first USD global benchmark in 2026
On January 8, OeKB very successfully issued its first USD Global benchmark bond of the year with a five-year maturity and a volume of USD 1.5 bn. Despite the ongoing geopolitical turbulences, the primary market for issuers of the highest quality was very constructive at the beginning of the year. After an array of Sovereign/Supra/Agency issuers accessed the market, the latter part of the first week of January offered OeKB an ideal issuing window.
The issue was met with exceptionally strong demand from the high-quality international investor community. At its formal opening the next morning, the order book stood at over USD 3.6bn which allowed for the price guidance to be revised straightaway by three basis points and the price to be set at SOFR Mid Swap +34 basis points. Subsequently, the book continued to grow strongly with high quality investors placing their orders into the book. The orderbook was eventually with total orders of more than USD 6.7bn and the transaction was priced with a volume of USD 1.5bn at a spread of only 9.4 basis points to US government bonds.
The coupon was set at 3.75% and the re-offer price at 99.702%.
Facts and Figures
- Lead Managers: Bank of America, Citigroup, Deutsche Bank, JP Morgan SE
- Distribution by investor type: Central Banks und Official Institutions 59%, Banks & Bank Treasuries 29%, Asset Managers 8% and Other 4%
- Distribution by region: Europe 35%, Americas 31%, Asia 26%, Middle-East/Afrika 8%
- The issue carries an unconditional and explicit guarantee of the Republic of Austria and is rated Aa1/AA+ by Moody’s and Standard Poor’s respectively
