Sorainen assisted the Lithuanian Ministry of Finance in successfully pricing an offer of EUR 450 million (nominal value) Eurobonds that will be consolidated to form a single series of 20-year Eurobonds issued last year. Before the addition the issue size was EUR 750 million but has now reached EUR 1.2 billion.
Said Rasa Budbergytė, Lithuanian Minister of Finance: “The decision was driven by positive sentiment in the financial markets and our aim to fix into the low interest rate. This re-opening of our longest Eurobond increases the liquidity of the bond, so that the price discovery exercise will be more efficient from now on. The proceeds from the offer will be used for general budgetary purposes as foreseen in the 2016 Borrowing Programme approved by the Government”.
The Eurobond has been issued at a yield of 1.132 per cent and an issue price equal to 116.955 per cent of its face value. Settlement of the Eurobond will take place on 22 October 2016. The maturity date is 22 October 2035.
The transaction was lead-managed by Goldman Sachs International and J.P. Morgan.
Partner Tomas Kontautas and senior associate Agnė Sovaitė advised the client on Lithuanian law-related issues.