We assisted the joint lead managers in a dual tranche Eurobond issue by the Republic of Lithuania, which borrowed EUR 1.5 billion in the international capital markets by issuing two Eurobond issues – a 10-year Eurobond of EUR 650 million face value and a 30-year Eurobond of EUR 850 million face value.

The decision to borrow for a longer period was made due to the favourable situation in the international financial markets, the objective being to manage risk properly and to fix low interest rates for a longer time.

10-year Eurobond – cheapest in Lithuania’s borrowing history

At annual interest of only 0.5 %, the 10-year Eurobond of EUR 650 million is the cheapest in Lithuania’s borrowing history. The bonds were issued with a yield of 0.603% and the issue price equalled 99.003 per cent of their face value.

30-year Eurobond issued for a second time

This is Lithuania’s second 30-year bond (face value EUR 850 million), at an annual interest rate of 1.625%. The bond yield is 1.732% and the issue price equal to 97.513% of face value.

More information here.

Transaction lead managers and our project team

The transaction was lead-managed by BNP Paribas and J.P. Morgan. Sorainen partner Tomas Kontautas with senior associates Agnė Sovaitė and Dalia Augaitė advised on Lithuanian law-related issues.