Demand for 5-year Greek bonds exceeded 11 billion euros, as investors rushed to place orders for them, London’s Financial Times reported Wednesday.
Strong investor interest emerged as soon as Athens ordered the issuance of the bonds, worth 2 billion euros.
According to the FT, “the €11bn order book, which is around four times higher than the amount Greece is expected to raise, includes about €1.3bn from the banks arranging the deal. It was sufficiently robust to lead bankers to predict a yield of 5 per cent to 5.25 per cent – lower than forecast by some analysts.”
On the other hand, Ralph Atkins, the newspaper’s columnists, underlined that “the urgent wish is that a successful pilot Greek bond market issue boosts confidence, highlights impressive progress in reforming public finances and encourages further foreign investment.”
“Not uncoincidentally it could rally support for Antonis Samaras, prime minister, ahead of May’s European elections,” he continued.