Sorainen has 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.
The transaction was lead-managed by Goldman Sachs International and J.P. Morgan. Before the addition the issue size was EUR 750 million but it has now reached EUR 1.2 billion.
Said Rasa Budbergyte, the 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 October 22, 2016. The maturity date is October 22, 2035.
Sorainen Partner Tomas Kontautas and Senior Associate Agne Sovaite advised the Ministry on Lithuanian law-related issues.