LONDON, Nov 13 (Reuters) - Prices on dollar bonds from South Africa’s state-run power utility Eskom fell around 2 cents on Monday after the company said it was facing serious liquidity issues.
A company spokesman told Reuters Eskom would run into “trouble” if the situation was not resolved.
The selloff also knocked South Africa’s sovereign debt prices, raising the average sovereign premium over Treasuries by nine basis points.
Eskom bonds maturing 2021, 2023 and 2025 fell to the lowest since last November, as did the sovereign 2044 issue which lost half a cent . (Reporting by Sujata Rao; editing by Karin Strohecker)