IFC issues $2b global bond for 2013 fiscal year

The International Finance Corporation (IFC) on April 3, 2013 says it has issued a $2 billion five-year global bond.

The IFC explains that the bond issue is part of its regular programme of raising funds for private sector development lending.

According to the World Bank Group Member, the proceeds of the issue will be “swapped into floating-rate US dollar funds that will be available for IFC investments in emerging markets”.

Citi, JPMorgan and Nomura acted as lead managers of the transaction.

“Our global bond program is an essential part of our strategy to support projects that foster inclusive growth and shared prosperity in developing countries,” IFC’s Vice President and Treasurer Jingdong Hua said in a statement.

“The strong market interest in this offering reflects the quality of IFC’s investment portfolio and the increasingly significant role developing countries are playing in driving the global economy.”

The IFC issues two global bonds during each calendar year and the Corporation says funding programme for the 2013 fiscal year is $10 billion.

Below is IFC Global Bond Summary Terms and Conditions

Issue amount: US$2,000,000,000.00
Pricing date: April 3, 2013
Payment date: April 10, 2013
Maturity date: June 15, 2018
Re-offer price: 99.662%
Re-offer yield: 0.942%
Semi-annual coupon: 0.875%
Re-offer spread vs Swaps: -3bps
Re-offer spread vs Treasuries: +20.3
Format: GMTN
Listing: Luxembourg

IFC Global Bond Distribution of Orders

By Geographic Region        
Asia:  33%
Americas:  36%
EMEA:  32%

By Investor Type
Central banks:  65%
Banks/Corporations: 14%
Fund managers:  21%

By Ekow Quandzie