Demand for Armenian Eurobonds three times higher than placement  volume - Finance Minister

ArmInfo.  The 5th tranche of Armenian Eurobonds was successful in terms of placement time and yield rate, as stated by Armenian Finance Minister Vahe Hovhannisyan during a press conference, in response to a question from ArmInfo.

According to the Finance Minister, the issuance of the 5th tranche of Armenian Eurobonds took place in early March. During that period, detailed information could not be disclosed due to agreements with certain international partners that required a <silence period>. <Now I can say that we have successfully issued Eurobonds in the amount of  $750 million, with an interest rate of 7.1%,>  he noted.

He informed that the investors in Armenian securities were mainly companies from the UK and the US, accounting for 45 and 34%, respectively. The share of European investors was 14%, and investors from the Middle East and North Africa accounted for 5%, the Minister said. According to him, the holders of Armenian securities were institutional investment companies, pension funds, hedge funds and, to a lesser extent, banks. JPMorgan, Citibank and Credit Agricole  Bank have acted as underwriters. Hovhannisyan explained that when  <benchmarking> against US treasury bonds, the success of placing Armenian sovereign debt is based on the spread. Additionally, the Minister noted that the timing of the securities placement could also be considered successful, as by not making the tranche in March, Armenia avoided entering a more <turbulent period> for the world economy.