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The Minister for Finance, Mr. Michael Noonan T.D. today (17th of January 2014) held a very constructive meeting with Mr. Klaus Regling, Managing Director of the European Stability Mechanism (ESM).
Luxembourg – The European Financial Stability Facility (EFSF) placed today a €8 billion 5-year bond maturing on 22 January 2019. The issuance spread was fixed at mid swap plus 7 basis points. This implies a reoffer yield for investors of 1.278%. The coupon rate is 1.25%
HSBC, Morgan Stanley and RBS acted as lead managers. The issue has drawn strong demand, with close to €12 billion in orders received from investors worldwide.
Luxembourg – The ESM financial assistance programme for Spain expires today with a successful exit. Since the programme started in December 2012, the ESM has disbursed a total of €41.3 billion to the Spanish government for the recapitalisation of the country’s banking sector. Spain will not request any follow-up assistance from the ESM.