LONDON, Jan 9 (Reuters) - Ireland recorded over 12.5 billion euros of interest in the early stages of marketing a new 10-year bond sale, according to a banking source.
The country announced on Tuesday that it has appointed banks for a new syndicated 10-year bond issue, and launched the deal this morning.
The source said that Ireland had drawn 12.5 billion euros in “indications of interest”, a phrase used to describe demand from investors just before the banks start taking orders officially.
Ireland has set initial pricing at 28 basis points over mid-swaps. By Reuters calculations, that suggests the bonds are being sold at a yield of around 1.11 percent.
The deal is expected to price later on Wednesday. BNP Paribas, Bank of America Merrill Lynch, Citi, Davy and Societe Generale are managing the transaction.
Last week, banking sources told Reuters the Irish debt agency would look to complete the bond sale before the British parliament votes on UK Prime Minister Theresa May’s Brexit agreement. The vote is set for next week.
Ireland is considered the euro zone country that would be most affected by a messy separation between the UK and the European Union. (Reporting by Abhinav Ramnarayan, editing by Larry King)