Slovenia successfully accessed the international capital markets with 30-year bond issuance

SLOVENIA, January 7 - The transaction represents the Republic’s first EUR 30-year benchmark tranche issued since 2020, and the first EUR 30-year benchmark tranche issued by a sovereign in 2025, benefitting from strong investor demand for long-dated tenors.

On Monday, 6 January 2025 at circa 14:50 CET, the Republic of Slovenia announced the mandate for its return to the debt capital markets with a EUR 30-year benchmark issuance due April 2055.

After gathering supportive investor feedback, books were opened the following morning on Tuesday, 7 January 2025 at circa 09:30 CET. Initial price guidance was released at MS+140bps area for a new EUR 30-year benchmark due April 2055.

Orderbook momentum remained strong throughout the morning on the back of which the Republic managed to revise price guidance just after 11:00 CET to MS+135bps area, with books recorded in excess of EUR 2.7bn (incl. EUR 505m JLM interest).

Books continued to grow, reaching above EUR 3.2bn (incl. EUR 505m JLM interest), allowing the Republic to set spreads 7bps tighter at MS+128bps at circa 12:25 CET. The transaction then launched at circa 13:40 CET with the final issue size set at EUR 1.0bn and orderbooks in excess of EUR 2.1bn (incl. EUR 410m JLM interest).

The offering ultimately priced at 16:05 CET with the following transaction parameters: EUR 1.0bn RegS notes with a coupon of 3.500% / reoffer spread of MS+128bps / reoffer yield of 3.548% / reoffer price of 99.100%. All-in-all, a very successful transaction for the Republic of Slovenia, as demonstrated by the sizable investor demand and low reoffer spread achieved.

The joint bookrunners for this transaction were Deutsche Bank, Erste Group, Goldman Sachs Bank Europe SE, HSBC, J.P. Morgan (B&D) and OTP Banka Slovenia

Geographical distribution:

39 % United Kingdom

25 % Germany, Austria, Switzerland

17% Nordics

7 % CEE

4 % Southern Europe

4 % France

2 % Slovenia

2% Other countries

Institutional investor distribution:

55 % Asset Managers

18 % Insurance/Pension Fund

17 % Central Banks/Official Institutions

10 % Bank

Not to be released, published or distributed directly or indirectly in whole or in part in or into or to any person located in or resident in the United States or into any other jurisdiction where it would be unlawful to do so.

The Notes are being offered and sold pursuant to an exemption from the registration requirements of the U.S. Securities Act, outside the United States in offshore transactions, in reliance on, and in compliance with Regulation S under the U.S. Securities Act. This announcement has been prepared for use in connection with the offer and sale of the Notes and does not constitute an offer to any person in the United States. Distribution of this announcement to any person within the United States is unauthorised. In member states of the EEA, this announcement is directed only at persons who are "qualified investors" within the meaning of Regulation (EU) 2017/1129 (the "EU Prospectus Regulation"). In the UK, this announcement is directed only at persons who are "qualified investors" within the meaning of Regulation (EU) 2017/1129 as it forms part of domestic law of the UK by virtue of the European Union (Withdrawal) Act 2018 (the "UK Prospectus Regulation"). This communication is being distributed to, and is directed only at, persons in the United Kingdom in circumstances where section 21(1) of the Financial Services and Markets Act 2000, as amended, does not apply.

A rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time by the assigning rating organisation.

Manufacturer target markets (MIFID II product governance) as assessed by the lead managers are eligible counterparties, professional and retail (all distribution channels).

This announcement shall not constitute an offer to sell or the solicitation of an offer to buy the Notes or any other securities, nor shall there be any offer, solicitation or sale of the Notes or any other securities in any state or other jurisdiction in  which such an offer, solicitation or sale would be unlawful.