Issue of Debt

LONDON--()-- 

 

 

 

 

Eastcheap Court

11 Philpot Lane

London

EC3M 8UD

T 020 7862 6500

 

www.dmo.gov.uk

 

 

 

19 May 2020

PRESS NOTICE

SYNDICATED LAUNCH OF £7.0 BILLION NOMINAL OF 0½% TREASURY GILT 2061: RESULT

The United Kingdom Debt Management Office (DMO) announces that the syndicated launch of £7.0 billion (nominal) of 0½% Treasury Gilt 2061 has been priced at £96.870 per £100 nominal, equating to a gross redemption yield of 0.5852%. The transaction will settle, and the first tranche of this gilt will be issued, on 20 May 2020.

Proceeds from today’s transaction are expected to amount to approximately £6.8 billion (cash1) and will take gilt proceeds in the financial year to date to £98.8 billion. The DMO is currently planning to raise £225.0 billion in gilt sales in the period April-July 2020.

This issue was the second transaction in the DMO’s 2020-21 syndication programme. The third, a new conventional gilt maturing in 2050, is scheduled to be launched via syndication in the first half of June 2020, subject to market and demand conditions.

Today’s offering was priced at a yield flat to the yield on 4% Treasury Gilt 2060, which represented the tight end of the published price guidance. The UK domestic market provided the main support for the issue, taking around 93% of the allocation.

NOTES TO EDITORS

The syndicated offer was managed by four Joint Bookrunners: Deutsche Bank, NatWest Markets, Morgan Stanley and UBS Investment Bank. All other wholesale Gilt-edged Market Makers were Co-Lead Managers. The composition of the syndicate was announced by the DMO on 7 May 2020.

This press notice will be appearing on the DMO’s website at: www.dmo.gov.uk


1 Figures in this Press Notice are in cash terms unless indicated otherwise.

Short Name: UKDMO
Category Code: IOD
Sequence Number: 700075
Time of Receipt (offset from UTC): 20200519T144907+0100

Contacts

UK Debt Management Office

Contacts

UK Debt Management Office