Kommuninvest will shortly, and market conditions permitting, issue a new bond under its Swedish Benchmark Programme. The bond, labelled K2206, will mature on 1 June 2022, similar to the outstanding Swedish Government bond SGB 1054. Kommuninvest targets benchmark status for K2002, equivalent to at least SEK 3 billion outstanding on the first day of trading. Final terms are to be established shortly.
Kommuninvest currently accounts for approximately 50 percent of the total external borrowings of Swedish local governments, with a substantial part of its funding undertaken in its Swedish benchmark programme. As of 31 October, SEK 151 billion was outstanding in six bonds.
– Our Swedish benchmark programme is now well established, and our focus is on maintaining and developing the programme in tune with the local government sector’s borrowing needs. We are glad to see that investor interest in the bonds has increased throughout the second half of the year, particularly among foreign buyers, says Pelle Ekestubbe, Senior Portfolio Manager at Kommuninvest.
Kommuninvest’s funding strategy includes a 50 percent funding target in SEK, with the Swedish Benchmark Programme as the primary funding source. Kommuninvest’s 2016 funding target, applicable to funding >1 year, is SEK 110 billion (USD 12 billion).
Additional Swedish Benchmark Programme information
For further information
Anders Gånge, Head of Funding & Treasury, tel: +46 (0) 10-470 87 12
e-mail: anders.gange@kommuninvest.se
Pelle Ekestubbe, Senior Portfolio Manager, tel: +46 (0) 10-470 88 62
e-mail: pelle.ekestubbe@kommuninvest.se
Björn Bergstrand, Senior IR Manager/Head of Media Relations,
tel: +46 (0)10 470 87 31 alt. +46 (0) 70 886 94 76
e-mail: bjorn.bergstrand@kommuninvest.se
