TAIPEI: Taipower, Taiwan's largest issuer of corporate bonds, sold 50 percent more bonds in its latest issue than planned, suggesting sentiment in the bond market was bullish.
Taipower issued 10-year bonds worth T$7.5 billion ($258 million) at a yield of 1.65 percent as well as T$4.5 billion in seven-year bonds at a 1.51 percent yield, its term sheet showed.
The yields were roughly in line with market expectations for the 10-year of between 1.60 percent and 1.65 percent and for the seven-year of between 1.50 percent and 1.55 percent.
Taipower in August had cut its plan to sell T$8 billion in bonds on concern there was not enough demand.
"Investor reaction was not bad. We were happy to sell more anyway," said an official of the state-owned electricity utility.
The yields on Taipower's bonds are the most important pricing indicator for Taiwan's corporate bond market.
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