France sells extra 1.57bn euros OATS after auction

PARIS:France sold an additional 1.57 billion euros in long-term, fixed-rate OAT bonds following an auction last week, debt management agency Agence France Tresor said on Monday.

The AFT said it sold an extra 441 million euros of its 2.50 percent OAT due in October 2020, 334 million euros of its 2.25 percent OAT due in October 2022 and 798 million euros of its 2.75 percent OAT due in October 2027.

The non-competitive bids meant France raised a total of 9.553 billion euros from the three bond lines.

It is customary for the Treasury to sell extra debt this way. Under the French system, buyers not only submit competitive bids at the auction but also have the option for a limited period after the sale to buy extra securities at the average auction price.

The extra amount they can buy is calculated according to how active they have been at previous sales.