The World Bank announced the launching today of a Pts. 15 billion (US$ 142.4 million equivalent) public bond offering in the Spanish peseta market. The bonds have a 5-year maturity, an annual coupon of 11 percent and an offering price of 101-3/8, for a yield of 10.36 percent on a semiannual equivalent basis.
This issue will be placed by an underwriting syndicate lead managed by Banco Espanol de Credito (Banesto) and co-lead managed by Midland Bank plc, Madrid. The bonds constituted will be listed on the Madrid Stock Exchange. International clearance of the bonds will be provided by CEDEL and EUROCLEAR.
The proceeds of this issue will be swapped into Deutsche mark which will be used in the general operations of the World Bank.