Turkey's dollar-denominated bonds see high demand

By Aysu Bicer

ANKARA (AA) - The Turkish Treasury and Finance Ministry on Wednesday said its issuance of a dollar-denominated bond due in 2031 finalized with a nominal amount of $2.25 billion, seeing high demand from international capital markets.

As part of the 2020 external financing program, Goldman Sachs, HSBC and Morgan Stanley were authorized on Nov. 24 to issue the bonds.

"The offering attracted an order book of more than double the actual issue size from close to 200 accounts," the treasury announced in a written statement.

With this issuance, the amount of funds raised from international capital markets in 2020 reached a total of $8.75 billion, it noted.

The bond has a coupon rate of 5.95% and a yield to investors of 6%.

It added that "40% of the bonds have been sold to investors in the UK, 19% in the US, 17% in other Europe, 15% in Turkey, and 9% in other countries."

The proceeds of the issue will be transferred to treasury accounts in December, it noted.