January 17, 2014
On the shortlist of candidates for Sovereign Bond of the Year, there were deals with impressive structures, sizes and execution, and which met a strong welcome from investors and peers. But the Republic of Chile’s dual-tranche issue stood out in particular for landing the lowest-ever coupon and yield for an emerging market bond.
The sovereign sold the $1.5 billion bond in October 2012, coming to market with a 10-year note and its first 30-year international benchmark.
The republic wanted to develop its yield curve, establish a long-dated reference point for corporate borrowers, and to raise funds at low rates.
“We wanted to establish a benchmark for our private and public companies foll
Chile impressed with the lowest coupon and yield ever achieved by a Latin American issuer for the 10 and 30-year tranches