The conditions of the Treasury Note in UP to 2047
The amount to bid on the Treasury Note series 5 in UP is from 1.2 billion PU. That is, some 1,696 million pesos –43.7 million dollars– at today’s value; although, taking into account the high demand in previous public placements, and the flexibility with which the State can extend the award, an even higher number could be expected after the process.
Among the conditions, the UGD established a 2% annual coupon. In turn, the interest payment be biannualevery March 1 and September 1, until September 1, 2047, expiration date. The amortizationFor its part, it will be in three consecutive annual payments in the last three years of the term, on September 1, 2045, 2046 and 2047.
Bidding will close at 2:30 p.m. of this Tuesday –Montevideo time– and the settlement will be the following business day, that is, Wednesday.
All local investors authorized by the Central Bank of Uruguay (BCU) may present their offers in this tender. Non-resident investors, for their part, may do so through a local bank or broker, or through Global Depositary Notes (tradeable on Euroclear, Clearstream and DTC), if available.
According to the UGD, “the tender will be structured as an auction of only pricewhich means that all accepted offers will be awarded at the same price” and “the minimum amount of each offer will be PU 100,000in multiples of UP 10,000”.
In turn, Treasury Notes will be accepted as a means of payment. 26 series (UI), 27 series (UI), Series 13 (UI) and Series 1 (UP).
This week $11.6 billion in pesos will be auctioned
In accordance with the tentative schedule for placing titles in nominal pesos, of the Central Bank of Uruguay (BCU), This week, a total of 11,600 million pesos will also be offered among four placements.
The first will occur this monday 27at 2:00 p.m. There, the amount to be bid will be 3,300 million pesos, of which 660 million pesos will be non-competitive. The term will be 35 days, expiring on April 3 of this year and the integration will be that Monday.
He tuesday 28at the same time, other 3,300 million pesoswith the same non-competitive proportion, although in this case the term will be more than two years -700 days-, maturing on January 29, 2025. The integration will take place on Wednesday.
He wednesday 1at 2:00 p.m., the first adjudication of March. will be 2,500 million pesos for a title in local currency -500 million will be non-competitive-, with a term of 105 days, expiration on June 14 of this year and integration on the same day of the bidding.
The latest date on the tentative calendar is friday march 3where others will be auctioned 2,500 million pesos –with a non-competitive fifth part– at the same time. The integration date of the operation will be that Friday and the term will be 189 days, maturing on September 8 of this year.
Source: Ambito
