10.16.06
Seychelles raises USD 383 milion on International capital markets
According to Lehman Brothers, the international bonds issued for Seychelles last week had been oversubscribed almost twice. The international merchant banking firm Lehman Brothers International Europe was appointed the lead manager for the bonds issue.
Seychelles came out to international capital markets with the expectation to raise USD 200 million in bonds issue, however, USD 383 million had been raised.
This was announced by President James Miche after the round-up meeting in London in the end of September, in the course of which he was informed by senior executives of the international banking firm about the success of the bonds issue. President Michel was in London to have a meeting with Lehman Brothers and other institutional investors on this matter.
In accordance with what the President said, such results prove that economic and financial programmes Seychelles has chosen are right. The Bonds issue confirmed and underlined the new confidence among international investors in the new economic directions of the Seychelles.
Very soon, this news was posted on the respective websites of Reuters and the financial institution, Bloomberg by October 2. The same day USD 200 million Bonds issue was confirmed in Official Gazette.
According to Official Gazette, the so-called 2006 Bonds will be redeemed in October 2011, and the interest of 9.125% per year is payable semi-annually each year.
Despite the fact that the Bonds issue was oversubscribed almost twice, Seychelles Government had decided to cap it at USD 200 million in order to stick to its economic plans.