Orders top $9 billion for Intesa Sanpaolo US dollar issue

Intesa Sanpaolo has returned to the American debt market issuing a $1.5 billion dual tranche Tier2 bond, in two equal $750 million tranches with maturities in 2032 and 2042.

The issue attracted more than 360 orders worth over $9 billion.

Intesa Sanpaolo’s return to the US market was highly anticipated by investors after a two-year absence.

Fund managers bought 78% of the issuance, while insurance companies and hedge funds each took 5%.

The final yield offered was well below initial expectations, with no premium to secondary market levels.

Technical data:

• $750m 11NC10 Fixed tranche (maturity 1 June 2032 with the possibility of calling one year before maturity): Treasury yield +260; IPT +300 area
  
• $750m 21NC20 Fixed tranche (maturity 1 June 2042 with the possibility of calling one year before maturity): Treasury yield +275; IPT +305 area
  
• Bookrunners: Barclays, Credit Suisse, Goldman Sachs, HSBC, JP Morgan, Morgan Stanley, Nomura
  
• Financial advisor: IMI CIB of the Intesa Sanpaolo Group.