ABSP - Absa Bank - Results Of The Inaugural Auctio
JSE ABSP
ABSP
ABSP - Absa Bank - Results Of The Inaugural Auction Of Absa Bank Abs5 Bonds
ABSA BANK LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1986/004794/06)
ISIN: ZAE000079810
JSE share code: ABSP
I(Absa Bank)
ABSA BANK - RESULTS OF THE INAUGURAL AUCTION OF ABSA BANK ABS5 BONDS
Absa successfully launched its senior bond programme through an inaugural
auction of R 250 million ABS5 bonds.
The ABS5, with a maturity of May 2015, was 3.88 times over subscribed and was
allotted at a spread of 75bp over its benchmark R157 bond. The entire auction
cleared at a yield to maturity of 8.44%. The auction was based on the Dutch
auction methodology.
As the first South African bank to establish a senior bond programme with
monthly bond auctions and secondary market support, Absa was encouraged by the
outcome of the first auction.
As part of an initiative to diversify its funding sources, Absa has created
three new senior bonds being the ABS4, the ABS5 and the ABS6 with maturity dates
of 2010, 2015 and 2020 respectively. Absa will issue at least one of these bonds
through its monthly auction process.
It is proposed that each of these bonds is listed on the Bond Exchange of South
Africa (BESA). The listing of ABS5 will commence with effect from the
commencement of business on 23 April 2007.
Enquiries
Paul Bowes
Head Funding and Liquidity
Tel (+2711) 350-5405
Email: paulbow@absa.co.za
Absa Debt Capital Markets:
Rob Moody
Tel (+2711) 350 7414
Email: robm@absa.co.za
Issued by:
Jacques Badenhorst
Investor Relations
Absa Group Limited
4th floor, Absa Towers East, 170 Main Street, Johannesburg
Tel: (+2711) 350-4061 Fax: (+2711) 350-6487
E-mail: jacques.badenhorst@absa.co.za
Lead sponsor:
Merrill Lynch South Africa (Proprietary) Limited
Co-sponsor:
Absa Capital, a division of Absa Bank Limited
Johannesburg
18 April 2007
Date: 18/04/2007 17:15:25 Produced by the JSE SENS Department.
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