The order book for the BIICC 2034, whose issue reached a nominal value of 700 million dollars, was filled with investors from various parts of the world, who demanded almost four times what was issued, reaching 2,701 million dollars.
Some 139 investors were present in the order book, 15 of these accounts invested for the first time in a sovereign security of the Uruguay. 89.5% of the demand for the bond came from these foreign accounts, while the remainder was from domestic investors.
The minister Azucena Arbeleche He maintained that “the result of this issue is another example of the confidence that the country generates in the financial markets” and that the transaction demonstrates “the institutional strength of the country and the credibility of public policies.”
“Uruguay achieved a significant volume of financing”
On the other hand, the MEF highlighted through a statement that, despite the current context of high global volatility, “Uruguay managed to obtain a significant volume of financing, in intermediate terms, through an innovative instrument”, such as this bond indexed to compliance with climate indicators.
The volume of demand was also valued positively, since it “allowed the government to compress the spread during the transaction, with an estimated concession below 15 basis points, with respect to the price of the bond in the secondary market.”
In turn, the MEF stated “the operation allowed access to incremental demand for investment funds committed to sustainable economic development”, and that “the transaction contributes to increasing the visibility of the country’s climate action and sustainable development strategy”, in addition to “supporting the development of other government climate financing instruments with multilateral organizations”.
Source: Ambito
