Eni launches new 10-year fixed-rate bond issue. Orders equal 5 times the offer

Eni is launching a new 10-year fixed-rate bond issue as part of its Euro Medium Term Note programme. The transaction is aimed at institutional investors.

The bond will be placed in line with market conditions and subsequently listed on the Luxembourg Stock Exchange. The bond issue, reports the press release, is in execution of the resolution passed by the board of directors on 7 April 2022 and is aimed at financing Eni's future needs and maintaining a balanced financial structure. Eni is rated Baa1 by Moody's, A- by S&P and A- by Fitch.

A syndicate of banks composed of Credit Agricole CIB, Deutsche Bank, HSBC, Intesa Sanpaolo (IMI CIB Division), Mediobanca, MUFG, Natixis, SMBC, Societe Generale Corporate &Investment Banking, Standard Chartered Bank and UniCredit is involved in the transaction and will act as joint bookrunners. The issuance, from what we learn from traders, is expected to be of a benchmark denomination, i.e. an amount of at least EUR 500m, and will mature on 15 January 2034. The initial price guidance is in the area of 175 basis points above the midswap rate.

Orders reached EUR 5 billion. The issue will reportedly amount to EUR 1 billion. The high demand allowed the issue price to be lowered to a spread of 137 basis points above the midswap rate. The initial guidance was in the area of 175 basis points.