The Ministry of Economy and Finance announces the placement details of the new 30-year BTP, maturing on the 1st September 2049, with a 3.85% annual coupon.
About 450 investors have taken part to the transaction with a total amount requested of more than 41 billion Euros. About half of the issuance has been allotted to fund managers (45.2%), while about a quarter has been subscribed by banks (25.8%). Investors with a long-term investment horizon have bought around 17.6% (in particular central banks and official institutions have been allotted for 7.4%, while pension funds and insurance companies for 10.2%). Hedge funds have subscribed 10.9% of the total amount issued. Also non-financial institutions (corporations) have taken part to the transaction with a residual share of 0.5% of the issuance.
In terms of geographical residence of investors, the placement has been extremely diversified with the involvement of investors coming from more than 35 countries: foreign investors have been allotted 73.6% of the issuance, while domestic ones have bought 26.4%. Among foreign investors, the participation of investors from UK has been relevant, as they have been allocated around 29.5%. The rest of the placement has been allotted mainly in Europe (36.3%), and in particular in Germany, Austria and Switzerland (18.9%), in Nordic countries (5.6%), in France (3.8%), in Spain (3.8%) and in other European countries (4.2%). Outside Europe, also noticeable has been the presence of investors resident in the United States, that have received 6.4% of the amount issued, while a residual share has been bought by investors resident in other countries (1.4%).
The bond has been placed through a syndicate structured with five lead managers, Banca IMI S.p.A., BNP Paribas, Crédit Agricole Corp. Inv. Bank, Deutsche Bank A.G. and Goldman Sachs Int. Bank, while the remaining Specialists in Italian Government Bonds participated as co-lead managers.