Demand for Turkish bonds more than twice issue size

By Gokhan Ergocun</p> <p>ISTANBUL (AA) – International investors’ demand for a new Turkish bond issue was more than double its actual size, said Turkey's Treasury and Finance Ministry on Thursday.</p> <p>&quot;The offering attracted an orderbook of more than twice the actual issue size from more than 200 accounts,&quot; the ministry said in a statement.</p> <p>Three international lenders — Citigroup, Deutsche Bank, and JP Morgan — were authorized to issue the U.S. dollar-denominated Turkish bond on Wednesday due in April 2029, as part of the 2019 external borrowing program.</p> <p>The transaction was finalized with a nominal amount of $2 billion, according to the statement.</p> <p>The bond has a coupon rate of 7.625 percent, and its yield rate for investors is 7.68 percent.</p> <p>The largest national share of the bonds was sold to investors from the U.S. — 40 percent — followed by Turkey with 27 percent, Britain with 20 percent, various other European countries with 8 percent, and other regions with 5 percent. </p> <p>&quot;With this transaction, the amount of funds raised from international capital markets as part of $8 billion worth of the 2018 Eurobond issuance program has reached $2 billion,&quot; the ministry noted.</p> <p>