Press Release N° 97 of Thu Jun 08 15:05:00 CEST 2017
The Ministry of Economy and Finance announces the placement details of the new 30-year BTP, maturing on the 1st March 2048, with a 3.45% annual coupon.
Slightly less than 200 investors have taken part to the transaction with a total amount requested of around 23.7 billion Euros. Almost half of issuance has been allotted to fund managers (44.9%) while a third has been subscribed by banks. Investors with a long-term investment horizon have bought around 8.6% (in particular central banks and official institutions for 5% while pension funds and insurance companies for 3.6%). Hedge funds have been allotted for about 13.6% of the total amount issued. Also non-financial institutions (corporations) have taken part to the transaction with a residual share of 0.2% of the issuance.
In terms of geographical residence of investors, the placement has been extremely diversified with foreign investors taking around two thirds of the placement against a share of domestic investors of around 36.2%. The participation of investors from UK and Ireland has been relevant, as they have been allocated around 31.8%. The rest of the placement have been issued mainly in Europe (around 25.6%), and in particular in Germany/Austria (10.1%), in Nordic countries (5.5%), in France (4.2%), in Benelux (1.4%) and in the Iberian peninsula (1.2%). The participation of the Swiss investors, for an allotted share of about 2.9%, has also been significant. Outside Europe, also noticeable has been the presence of investors resident in the north America (US and Canada) that have received around 6.1% of the amount issued. Finally, residual shares have been bought by investors resident in the rest of Europe (0.5%) and Asia (0.2%).
The bond has been placed through a syndicate structured with five lead managers, BNP Paribas, Citigroup Global Markets Ltd., Goldman Sachs Int. Bank, HSBC France and UniCredit S.p.A, while the remaining Specialists in Italian Government Bonds participated as co-lead managers.