News
CEB issues GBP 250 million 1.250% September 2026 Benchmark
18 January 2022
Transaction highlights:
- Council of Europe Development Bank’s (CEB) first GBP Benchmark transaction of 2022
- Adding a new liquid point to CEB’s GBP Benchmark curve, complementing their Dec-25 and Jul-27 maturities
- Final orderbook closed in excess of £300 million (excl. JLM interest)
PARIS - On Tuesday 18th January 2022, Council of Europe Development Bank (“CEB”), rated Aa1 (Stable) / AAA (Stable) / AA+ (Positive) by Moody’s / S&P / Fitch, priced a new GBP250 million Sep-26 Benchmark at UKT 1.500% Jul-26 + 35bps. The Joint Lead Managers on the transaction were BofA Securities, RBC Capital Markets and TD Securities.
Council of Europe reacted swiftly to the constructive tone in the Sterling market to announce a GBP Sep-26 Benchmark at 15.55pm UKT on Monday afternoon. Initial-price-thoughts (IPTs) of UKT+35bps area were also released.
Orderbooks officially opened at 08.06am UKT on Tuesday morning, with price guidance unchanged at UKT+35bps area at this juncture.
The transaction enjoyed a strong reception during the European morning, with demand in excess of GBP350 million (excl. JLM interest) by the time of the first update at 10.47am UKT. Given the size and quality of demand and in order to provide clarity to investors, the spread was set at UKT+35bps. It was also communicated that books were to close at 11.40am UKT.
A final orderbook in excess of GBP300 million (excl. JLM interest) allowed the issuer to comfortably set the size of the transaction at GBP250 million. Pricing occurred shortly after 13.15pm UKT with an annual coupon of 1.250%.
In line with the issuer’s strategy over the past years, this transaction enhances the liquidity of CEB’s GBP Benchmark curve with a new 2026 pricing reference, complementing CEB’s existing 2025 and 2027 maturities.
Investor distribution
By geography
UK: 80%
EMEA (ex. UK): 6%
Asia: 13%
Americas: 1%
By investor type
Banks & Bank Treasuries: 63%
Fund Managers / Insurance / Pension Funds: 24%
Central Bank / Official Institutions: 13%
Set up in 1956, the CEB (Council of Europe Development Bank) has 42 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank's target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (Aa1 with Moody's, outlook stable, AAA with Standard & Poor's, outlook stable, AA+ with Fitch Ratings, outlook positive and AAA* with Scope Ratings, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.
*unsolicited
Contact
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Adrian Kaeser/Anne Flori
+33 1 47 55 75 18/+33 1 47 55 57 88