The World Bank today reopened its July 1, 1986 DM 500 million issue of 6 percent ten-year bonds with a new DM 300 million ($151 million) issue. The new bonds have the same coupon and maturity date (July 15, 1996) as the previous issue and are non-callable. They are offered at 96.75 for a yield of 6.35 percent on a semi-annual equivalent basis.
It is expected that after settlement on November 6 this offering will trade as a single issue with the previously offered bonds. The two offerings will be listed on all German stock exchanges as one DM 800 million issue.
The syndicate for this issue is headed by the Deutsche Bank AG, as manager, and the Dresdner Bank AG, the Commerzbank AG, and the Westdeutsche Landesbank Girozentrale, as co-managers.
The proceeds of this issue will be used in the general operations of the World Bank.
The World Bank’s outstanding Deutsche mark obligations, consisting of both public and private borrowings, now total DM 27.1 billion ($13.7 billion).