Greek incumbent OTE has raised €700m (US$951m) through an issuance of 3.5% notes due 2020 under its global medium term note programme.
The offering was over-subscribed with demand exceeding €2.5bn. Existing bondholders bought up €500m of the total…
Greek incumbent OTE has raised €700m (US$951m) through an issuance of 3.5% notes due 2020 under its global medium term note programme.
The offering was over-subscribed with demand exceeding €2.5bn. Existing bondholders bought up €500m of the total €700m to tender their paper maturing in February 2015 and May 2016.
The Athens-listed telco said the transaction, which priced at 99.28, was part of its “multi-layered refinancing strategic plan” and that it would improve its debt maturity profile.
Deutsche Bank and Morgan Stanley acted as joint bookrunners on the issue and the notes will be listed on the Luxembourg bourse. Alpha Bank, National Bank of Greece, Eurobank Ergasias and Piraeus Bank served as co-managers.
Michael Tsamaz, OTE’s chairman and CEO, commented: “It is a vote of confidence of the international capital markets to both Greece and OTE.”
“The demand for the new bonds that we will issue is an acknowledgement of our strategy as well as of the prospects of the recovering Greek economy.”
OTE last issued a eurobond in January 2013 to buy back bonds due in August 2013 and April 2014. It sold €700m in five-year notes to refinance the debt. In its latest quarterly results OTE disclosed €1.6bn in net debt, down €1.2bn from the number it posted 12 months prior.
