The huge wash of liquidity that has propelled every recent Asian bond deal from Sing Tel to CNOOC has never been more evident than at the pricing of two new sovereign dollar benchmarks in New York last night Tuesday.
Pricing of a $750 million re-opening of the Federation of Malaysia's July 2011 bond at 6.8% and a $1 billion transaction for the Republic of the Philippines at 8.5% represent the lowest borrowing costs that either issuer has ever secured for a benchmark dollar offering. Both deals were underpinned by huge order books in terms of overall size and number of investors participating. Both deals consequently priced more tightly than expected after taking full advantage...
