JERUSALEM, Sept 26 (Reuters) -
* Mizrahi-Tefahot, Israel’s third-largest bank, said on Tuesday it expects to raise more than 3.5 billion shekels ($993 million) in a bond offering from institutions and the public.
* The bank said demand from institutions on Monday reached 7 billion shekels, four times the amount it had planned to raise.
* As part of the offering, Mizrahi is selling two new bond series of seven and 10 years and widening an existing series of inflation-linked bonds repayable in 2030.
* The new bonds will pay interest of 0.86 percent to 1.22 percent, 0.71-0.81 percentage points above comparable Israel government bonds.
* The bonds are rated “AAA” with a “stable” outlook by Standard & Poor’s Maalot.
* The offering to the general public will take place in the coming days.
* ($1 = 3.5247 shekels) (Reporting by Steven Scheer)