Demand for Portugal 10-year euro bond exceeds 8.5bn

LONDON: Demand for Portugal's April 2027 euro-denominated benchmark bond is in excess of 8.5bn, according to a lead.

Guidance for the trade has been revised to 352bp-355bp over mid-swaps, down from initial price thoughts of plus 360bp area and guidance of plus 355bp to 360bp, released earlier on Wednesday.

If the deal prices at the top end of revised guidance, Portugal will pay a yield of about 4.25pc on the transaction.

BBVA, HSBC, JP Morgan, Morgan Stanley, Novo Banco and Societe Generale are managing the RegS/144A transaction, which will price on Wednesday.

Portugal is rated Ba1 by Moody's and BB+ by S&P and Fitch.