The government tendered bonds for more than 3,601 million pesos in an instrument that was once again well received by the market.
He Ministry of Economy and Finance (MEF) placed more than 3,601 million pesos, that is, about 94,141 dollars, in the closing of the tender for the Treasury Note Series 6 in Pension Units (UP), bonds that already concentrate 17% of the stock of debt of the government.
In total, the MEF offered 1.2 billion UP, valued at just over 1,800 pesos (about $47 million) and accepted almost the entire demand, which was 2.48 billion UP.
The offer closed with a cut-off price of 100.82 and a Internal rate of return (IRR) of 2.1490%, according to data from the Uruguayan Electronic Stock Exchange (Bevsa). Regarding the conditions, they included a term of 14 years, that is, they expire on July 20, 2036.
It is not the first time that the demand for instruments linked to U.P. reaches double the government’s offer, at a time when the Uruguayan peso remains strong in relation to the dollar. Thus, the MEF advances with its strategy to continue funding with financing instruments debt in pesos.
How the tender calendar continues
As part of the schedule planned by the Central Bank of Uruguay (BCU) and the MEF, On Wednesday there will be another award at 2 p.m., when a title will be put out to tender for 3.3 billion pesos, equivalent to about 86.77 million dollars, with integration for the same day and with a period of 98 days. Of this total, 660 million pesos are considered non-competitive.
Meanwhile, on Friday, the third title will be put out to tender, with award for the same day, and for a value of 4.2 billion pesos – about 110.44 million dollars – and with a deadline of 189 days. Of that total amount, 840 million pesos are considered non-competitive.
Source: Ambito
