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News 2018

BancoEstado inaugurates 2018 by underwriting US$500 million in the international bonds market

Subgerencia de Comunicaciones

, Jan 04, 2018. 08:00

The geographical distribution of these investors was 80% USA, 19% Europe and 1% other countries.

BancoEstado placed a bond benchmark in USD worth US$500 million and three (3) years term with a 2.668% annual rate, equivalent to a spread of 65 base points over the US Treasury.  

This operation had a strong demand from international investors, totaling 2.8 times the issued amount.  On this point, the Chief Financial Officer, Mr. Carlos Martabit, said “the book had over 70 investors confirming BancoEstado has successfully diversified its investors and funding sources” and added, “this placement shows the confidence of foreign investors in BancoEstado”. The geographical distribution of these investors was 80% USA, 19% Europe and 1% other countries.

Finally, the executive underlined “this is the first transaction of a Chilean entity in international markets in 2018”. On this operation, BancoEstado was supported by Citigroup, Bank of America, JP Morgan and HSBC, achieving favorable terms and conditions as regards to other placements in local and foreign financial markets.