He Ministry of Economy and Finance (MEF) will reopen next Tuesday the 13th a tender for the Treasury Note in Indexed Units (UI) for more than 1,601 million pesos maturing in August 2034, according to the domestic debt issuance schedule for the first half of 2023.
This is the Treasury Note series 29 in UI that will bid a base amount of 275 million IUwith the possibility of extending the award —according to the volume of bids received— up to twice the total originally planned.
If the amount offered is materialized, the current amount would amount to 5,796 million UI —33,753 million pesos-, according to Public Debt Management Unit (UGD).
Among the conditions, the UGD established a 2.50% annual coupon. In turn, the interest payment be biannual, every August 24 and February 24, until August 24, 2034. The amortization, for its part, it will be made in three annual payments in 2032, 2033 and 2034.
The closing of the tender will be at 2:30 p.m. next Tuesday —time of Montevideo- 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 Depository Notes (negotiable in Euroclear, Clearstream and DTC), to be available.
According to the UGD, “the tender will be structured as an auction of only price, which means that all accepted offers will be awarded at the same price” and “the minimum amount of each offer will be UP 100,000, in multiples of UP 10,000”.
In turn, Treasury Notes will be accepted as a means of payment. 27 series (UI), Series 13 (UI) and Series 1 (UP).
The MEF continues with its debt placement strategy in pesos
Today and on Friday, the MEF will tender two other Treasury Notes in pesos: at 2:00 p.m. today the process for 3,000 million pesos will begin; while on Friday it will be for 5,000 million pesos.
He Monday, Meanwhile, another Treasury Note in pesos was tendered for a total of 5,630 million pesos —The amount originally tendered was 4,000 million pesos, for which 40.75% more than initially expected was awarded.
Source: Ambito
