Obligation Gobierno Central: Reino de España 0.6% ( ES0000012F43 ) en EUR

Gobierno Central: Reino de España

100 % ⇌

Espagne

ES0000012F43 ( en EUR )

0.6% par an ( paiement annuel )

31/10/2029 - Obligation échue

Prospectus brochure de l'obligation Central government: Kingdom of Spain ES0000012F43 en EUR 0.6%, échue

Le gouvernement central du Royaume d'Espagne est une monarchie parlementaire dirigée par un roi, chef d'État, et un président du gouvernement, chef du pouvoir exécutif.

L'obligation espagnole ES0000012F43, émise par le gouvernement central du Royaume d'Espagne, libellée en EUR, avec un taux d'intérêt de 0,6% et une maturité initialement fixée au 31/10/2029, a atteint sa maturité et a été intégralement remboursée à son prix nominal de 100%.

KINGDOM OF SPAIN
New EUR 6 billion 0.60% 10-year benchmark due 31st of October 2029

PRESS RELEASE 12th OF JUNE 2019
The Kingdom of Spain, acting through the Spanish Treasury, rated A-/A- /Baa1/A (pos/stab/stab/stab) by S&P,
Fitch, Moody's, and DBRS, priced a new 10-year benchmark on Wednesday 12th of June 2019. The new EUR 6
billion SPGB due 31st of October 2029 pays an annual coupon of 0.60% with a short first coupon and was priced
at a spread of 33bps over mid swaps implying a reoffer yield of 0.629%. The placement was carried out through
a syndicate comprising six lead managers: BBVA, Crédit Agricole CIB, Goldman Sachs International Bank, HSBC,
Santander and Société Générale. The remaining primary dealers in the Kingdom of Spain government bond
market were invited into the syndicate as co-leads.

Background
This new 10-year benchmark is the third syndicated nominal Obligaciones del Estado issued in 2019,
following the EUR 5 billion 15-year and EUR 10 billion 10-year Obligaciones del Estado issued in February
and January respectively.
After this new transaction, the Spanish Treasury has completed EUR 70.3 billion in medium and long-term
funding, equivalent to 57.7% of their announced gross issuance target for the year of 121.9 billion.

Execution highlights
The mandate of the new Obligaciones del Estado syndicated 10-year benchmark was announced on Tuesday
11th of June slightly after 14h45 CET. Following the announcement of the transaction, the Joint Lead
Managers ("JLM") started collecting substantial indications of interest from investors throughout the
afternoon and overnight before the announcement of any price guidance.
On Wednesday 12th of June and with Indications of Interest ("IoIs") wel above EUR 20.5 billion (including
EUR 3.9 billion of JLM interest), at 09h20 CET the orderbook was officially opened with price guidance of mid
swaps +37bps area and the transaction size was immediately announced at EUR 6 billion (no grow).
With books in excess of EUR 31 billion (including EUR 4.15 billion of JLM interest), at 10h25 CET the guidance
was revised to mid swaps +35bps area (+/- 2bps WPIR). At 11h05 CET the final spread was fixed at mid swaps
+33bps (4bps inside initial price guidance). This pricing is 32bps tighter than the issue spread of the last
Obligaciones del Estado 10-year benchmark launched in January.
The orderbook was officially closed at 11h30 CET. A total of 212 orders were placed in the transaction with
the final book size over EUR 27.5 billion (including EUR 3.75 billion of JLM interest). Allocations were released
at 14h15 CET and the transaction priced at 15h05 CET at mid swaps +33bps, giving a re-offer yield of 0.629%
and reoffer price of 99.710%.
With this new transaction the Kingdom of Spain matches the previous successful outcomes of the EUR 5
billion 15-year and EUR 10 billion 10-year Obligaciones del Estado issued earlier this year, highlighting the
value of the Spanish credit as well as the depth and quality of the Spanish investor base.

Summary of distribution
The transaction demand demonstrated the strong appetite for the Spanish credit within the international
investor community which represented 86% of the final allocation. From this group, the largest proportion
of the final allocation went to investors based in the UK/Ireland (26.1%), followed by
Germany/Austria/Switzerland (18.1%), France/Italy (15.6%) and Asia (10.7%). Domestic investors accounted
for 14% of the final allocation.
From an investor perspective, fund managers represented the largest share of the final allocation with
47.2%, followed by bank treasuries (20.9%), pension/insurance (13.5%) and central banks/official
institutions (8.3%).

By Investor Country

By Investor Type

3.3%
2.0%
5.4%

Uk/Ireland
8.1%
Fund Manager
6.7%

26.1%
Germany/Austria/S
8.3%
witzerland
Bank Treasury

10.7%
France/Italy
47.2%

Pension/Insurance
Spain
13.5%

Central Bank/OI
14.0%
Asia

18.1%
Other
US/Canada

20.9%
15.6%
Other

Hedge Fund

Summary of terms and conditions
Issuer

The Kingdom of Spain
Issuer ratings

A-/A- /Baa1/A (pos/stab/stab/stab)
Format

Obligaciones del Estado (in dematerialized book entry form) RegS Cat 1, 144A eligible, CACs
Size Euro

6,000,000,000.00
Pricing date

12th June 2019
Settlement date
19th June 2019 (T+5)
Maturity date

31st October 2029
Coupon

0.60%, fixed, annual, ACT/ACT, short first coupon on 31st October 2019
Reoffer spread
MS +33bps / DBR 0.25% 02/2029 +86.6bps
Reoffer price

99.710%
Reoffer yield

0.629%
Listing

Madrid (AIAF Mercado Renta Fija)
Governing law
Spanish Law
ISIN

ES0000012F43
Joint-Bookrunners
BBVA, CACIB, GS, HSBC, Santander and SG CIB