Singapore state investor Temasek Holdings plans to launch a dual-tranche offering of 4- and 10-year Euro-denominated bonds, according to a statement on Wednesday.
This will be made via Temasek Financial (I) Limited or “TFin-I”, a wholly-owned subsidiary of Temasek. The T2027-EUR and T2033-EUR Temasek Bonds will be issued by TFin-I under its $25 billion Guaranteed Global Medium Term Note Programme.
The application for the listing and quotation of the bonds will be made on the Singapore Exchange (SGX). The proceeds from the bond issuance will be used to fund the ordinary course of business for Temasek and its related subsidiaries, it added in the statement.
Temasek has been assigned an overall corporate rating of “Aaa” by Moody’s Investors Service and “AAA” by S&P Global Ratings.
Temasek’s TFin-I last made a three-tranche offering of 10, 20 and 40-year US-denominated guaranteed bonds in mid-2021. These were the 22nd, 23rd and 24th bonds issued under TFin-I’s $25-billion guaranteed global medium-term note programme.
At the time, it had priced its $750 million, 10-year bond at 1.625%; $750 million, 20-year bond at 2.375%; and $1-billion, 40-year bond at 2.75%.
Around 32% of the demand was from fund managers while 29% came from central banks and sovereign wealth funds, according to its last disclosure. Other investors included private banks, pension funds, insurance firms, hedge funds and prime brokerages.
Nearly 39% of investor interest for the last tranche came from the Asia Pacific, followed by Europe, the Middle East and Africa, and the Americas.
Temasek Holdings last raised the limit of its guaranteed global medium-term note programme to $25 billion in 2020, up from $20 billion previously. Prior to this, the programme’s limit was last increased from $15 billion in July 2018.
