Business
FGN Bond: February 2019 Auction Oversubscribed
- FGN Bond: February 2019 Auction Oversubscribed
Investors once again oversubscribed for the Federal Government of Nigeria (FGN) Bond Auctions conducted by the Debt Management Office (DMO) on February 20, 2019.
Three instruments, for 5, 7 and 10-year tenors, valued at N150 billion were offered. Total bids from investors, however, exceeded N234 billion, with a total subscription level of 156 per cent.
The 10-year bond, the principal focus of investors, had a subscription level of 392 per cent.
In a statement, DMO said: “The focus of investors was principally on the 10-year bond which had a subscription level of 392 per cent. Successful bids were allotted at rates notably lower than those at the January 2019 Auction, with 14.52 per cent for the 5-year, 14.7999 per cent for the 7-year and 14.939 per cent for the 10-year bond. The DMO allotted the full N150 billion offered to successful bidders across the three tenors.”