The Public Finance Ministry (MFP) will choose, by mid-July, an intermediary for a possible issue of Eurobonds in the last quarter of 2009, with 5-10 years maturity and a volume of minimum EUR 500 M, according to Bogdan Dragoi, state secretary with MFP, quoted by Mediafax.
“In the near future, we will start the bid for selecting the intermediary of the Eurobonds issue, so that we are prepared to get them on foreign markets in the last three months of the year, but only if we’ll have a favourable mix in terms of volume, price and maturity,” Dragoi said. According to the MFP official, after choosing the intermediary the ministry will start a road-show presentation aimed at obtaining a minimum volume of half a billion euros, with at least 5 years maturity, but no more than 10 years, and a “reasonable” price.
The issue’s value will also depend on pricing conditions. It is premature to talk now, but we are certainly interested in a volume of at least EUR 500 M,” the MFP official pointed out.
BNR Governor Mugur Isarescu had earlier stated that MFP might issue longer-termed state bonds in foreign currency, on the local market, as part of the investment instruments negotiated with commercial banks within the Vienna agreement, reconfirmed by Brussels.
Dragoi confirmed this idea, but added that the Treasury’s priority on the domestic market is represented by state bonds in local currency.