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Total orders for Italy's 'BTP Futura' bond reach 5.21 bln euros on third day

ROME, July 8 (Reuters) - Orders for Italy’s new ‘BTP Futura’ retail bond reached 1.16 billion euros ($1.xx billion) on the third day of its offering, bourse data showed on Wednesday, pushing total requests to 5.21 billion euros.

Italy’s Treasury said last month it would sell the new 10- year BTP bond, aimed at funding coronavirus recovery spending and dedicated to retail investors, from July 6 to July 10.

But the offer is only guaranteed for the first three days. Should the ministry decide to suspend the placement later on Wednesday, the offering would still continue until 1200 GMT on Thursday.

The issue envisages a step-up mechanism for coupon rates, with a minimum guaranteed annual coupon of 1.15% for the first four years, rising to 1.30% from the fifth to the seventh year and then further to 1.45%.

Retail investors’ demand will be met in full and the bond includes a ‘loyalty’ premium for investors who hold the notes to maturity.

Orders for the issue were 2.37 billion euros ($2.68 billion) on Monday and 1.68 bln on Tuesday, bourse data showed. (Reporting by Valentina Consiglio, editing by Giulia Segreti)

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