Czechs sell CZK 3.00bn of VAR/23 bonds

PRAGUE: The Czech Finance Ministry sold 3.00 billion crowns ($148.24 million) worth of variable rate government bonds due 2023 in the first, competitive round of bidding on Wednesday.

Wednesday's auction produced an average yield of 18.945 basis points above the 12-month Prague interbank offered rate (PRIBOR) of 0.75 percent. The bond has a 1.41 percent coupon.

The ministry has set the annual coupon at the 12-month PRIBOR rate plus 65 basis points, and will reset the coupon in April 2014.

The ministry had planned to offer 1 billion to 4 billion crowns worth of the bond.

The bond was sold along with 2.50 billion crowns worth of a 0.50 percent coupon bond due 2016 on Wednesday.