BTr issues 25-year notes

The Bureau of Treasury on Tuesday floated its maiden 25-year retail treasury bond, which fetched a coupon of 6.125 percent a year.

During a price-setting auction, the government raised P62.988 billion, or more than twice the original offer of P30 billion.

Prospective selling agents tendered a total of P76.508 billion. Bids from 23 out of 38 eligible dealers of government securities were accepted.

Deputy Treasurer Eduardo S. Mendiola said in an interview that the auction committee went for a coupon that was “aligned” with the corresponding 6.28 percent prevailing in the secondary market.

Mendiola said the latest issue of the retail T-bond was available until October 22 to retail investors, or buyers other than the eligible dealers and their subsidiaries, and state-run pension funds like the Government Service Insurance System, Social Security System and Pag-IBIG Fund.