Demand for Romanian Samurai bonds reportedly moderate

Romania failed to generate high interest from Japanese investors with the green Samurai bonds denominated in yen, which it launched on September 29, and will have to give up some of the maturities envisaged while shifting up the indicative yield targets, according to Bloomberg and Profit.ro.

Romania tagged the planned issue as "green," expecting investors to accept lower interest rates in exchange for the money allocated to sustainable projects.

Subscriptions could close on October 2 (October 3 for Japan), with loan terms to be decided on October 4. The arrangers of the show are DAIWA, Mizuho, ​​Nomura, and SMBNIK.

The issue marks the first return of the Romanian state to the Japanese financial market after the 90s.

The Ministry of Finance gave up one of the six bond issues, the 15-year one, according to Bloomberg, and could later give up other issues among the remaining five, 3-year, 5-year, 7-year, 10-year, and 20-year.

Romania also had to broaden the indicative interest range for the remaining five issues and then revise the indicative level towards the upper limit of this range.

The amount that Romania could attract would be around several hundred million dollars (USD 100-300 million), depending on the market conditions. The amount is small compared to the issuance of billions of euros or dollars recorded in the Romanian state's regular external outflows.

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