Bear Stearns Re-opens Jamaica Eurobonds At 101.625%.Business Editors NEW YORK--(BUSINESS WIRE)--May 24, 2001 The Government of Jamaica issued an additional US$125 million of its 11.75% Notes due 2011 today at a price of 101.625%, over 3% above their original re-offer price of 98.545% just three weeks ago. The re-opening price corresponds to a yield-to-maturity of 11.47%. Bear Stearns The Bear Stearns Companies, Inc. (NYSE: BSC) is the parent company of Bear, Stearns & Co. Inc., one of the largest global investment banks and securities trading and brokerage firms in the world. acted as lead-manager and bookrunner of both the original issue and today's re-opening. The issue size is now US$400 million, and completes the Government's financing needs for the fiscal year ending March 31, 2002. Demand for the Jamaican bonds was so overwhelming that the transaction was quickly oversubscribed Refers to connecting more users to a system than can be fully supported if all of them were using it at the same time. Networks and servers are almost always designed with some amount of oversubscription, counting on the fact that everybody does not need the service simultaneously. , with over US$200 million in orders. In addition, strong investor interest allowed the transaction to be announced To be announced (TBA) A contract for the purchase or sale of an MBS to be delivered at an agreed-upon future date but does not include a specified pool number and number of pools or precise amount to be delivered. , launched and priced within two hours. The notes were distributed almost entirely to US and European institutional accounts: 28 US investors bought 80% of the issue, while 8 European investors took in 11% of the issue and Central American Central America A region of southern North America extending from the southern border of Mexico to the northern border of Colombia. It separates the Caribbean Sea from the Pacific Ocean and is linked to South America by the Isthmus of Panama. and Caribbean (non-Jamaican) investors took the remaining 9%. Many orders came from institutional investors that did not receive full allocations in the original issue, while other investors wanted to add to their positions given the outstanding performance of the bond in the secondary markets. The re-opening, similarly to the original issue, accomplished the Government's objective of growing its institutional investor base and diversifying funding sources away from the local markets in order to free up credit to the private sector. The re-opening of the Government of Jamaica bond, which is rated Ba3/B+, was priced at a yield 1.42% below Turkey's (B1/B-) 10-year benchmark, 1.96% below Brazil's (B1/BB-) 10-year benchmark, 3.67% below Argentina's (B2/B) 10-year benchmark, and 1.18% below Peru's (Ba3/BB-) FLIRB benchmark. For more information, please contact Jorge Cantonnet or AJ Mediratta at (212) 272-9425 in Bear Stearns Emerging Markets Debt Capital Markets. Founded in 1923, The Bear Stearns Companies Inc. (NYSE NYSE See: New York Stock Exchange : BSC (Binary Synchronous Communications) See bisync. ) is the parent company of Bear, Stearns & Co. Inc., a leading investment banking and securities trading securities trading, financial activity involving transactions of property such as stocks, bonds, commodities, and currency (see securities). Although the trading of stocks and bonds dates back several centuries in many Western nations, the development of the and brokerage firm serving governments, corporations, institutions and individuals worldwide. With approximately $25.8 billion in total capital, the company's business includes corporate finance and mergers and acquisitions, institutional equities and fixed income sales, trading and research, private client services, derivatives, foreign exchange and futures sales and trading, asset management and custody services. Through Bear, Stearns Securities Corp., it offers prime broker and broker dealer clearing services, including securities lending Securities Lending When a brokerage lends securities owned by its clients to short sellers. Notes: This allows brokers to create additional revenue (commissions) on the short sale transaction. . Headquartered in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. , the company has approximately 11,000 employees located in domestic offices in Atlanta, Boston, Chicago, Dallas, Denver, Los Angeles, San Francisco and San Juan; and an international presence in Beijing, Buenos Aires, Dublin, Hong Kong, London, Lugano, Sao Paulo, Seoul, Shanghai, Singapore and Tokyo. For additional information about Bear Stearns, please visit our Web site at http://www.bearstearns.com. |
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