BEIRUT, Nov 12 (Reuters) - Lebanon's dual-tranche Eurobond, placed earlier this week, was significantly oversubscribed with the $225 million tranche receiving bids four times the size of the issue, a banking source told Reuters on Friday. The bigger $500 million bond, maturing November 2018, was twice subscribed, the source said. The $225 million tranche matures in October 2022. "The demand came from international fund managers, international banks and local banks. There is good appetite in the international market for the country's sovereign issues," the source said. He also said the international market was more interested in the 2018 issue, adding foreign buyers had accounted for thirty percent of the demand for this tranche. The yield on the 2018 Eurobond was 5.15 percent, while the 2022 deal was placed to yield 6.10 percent. Bank of Beirut and Credit Suisse arranged the issue, the proceeds of which were earmarked for refinancing maturing debt. One of the world's most indebted countries, Lebanon sold a $1.2 billion Eurobond in March, which attracted bids about three times the size of the issue.
Its sovereign debt is rated B by both Standard & Poor's and Fitch. (Reporting by Mariam Karouny, editing by Sujata Rao) Keywords: LEBANON EUROBOND/DEMAND (firstname.lastname@example.org; Beirut newsroom :+961 1 983 885; Reuters Messaging: email@example.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved.
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