Two fixed-rate eurosterling issues, each amounting to £ 50 million (about US$62.3 million equivalent) and priced at 99-3/4%, were announced by the International Bank for Reconstruction and Development (World Bank). One issue of five-year notes will carry an interest rate of 10-5/8 percent per annum, and matures on December 14, 1989. The other is of ten-year duration, carrying an interest rate of 11% per annum and will mature on December 14, 1994. Interest on the notes will be paid annually on December 14.
The issues were offered through a syndicate of international financial institutions headed by Baring Brothers & Co., Limited as lead manager with Algemene Bank Nederland N.V., Barclays Bank Group, County Bank Limited, Credit Suisse First Boston Limited, Deutsche Bank Aktiengesellschaft, Hambros Bank Limited, Hill Samuel & Co. Limited, IBJ International Limited, Kleinwort, Benson Limited, Kredietbank International Group, Lloyds Bank International Limited, Merrill Lynch Capital Markets, Samuel Montagu & Co. Limited, Morgan Grenfell & Co. Limited, Morgan Guaranty Ltd, Nomura International Limited, Orion Royal Bank Limited, J. Henry Schroder Wagg & Co. Limited, Union Bank of Switzerland (Securities) Limited, and S. G. Warburg & Co. Ltd. as co-managers.
The proceeds of this issue will be used in the general operations of the World Bank.