Results of additional issuance - RIKS 37 0115 - RIKS 50 0915

What happened

The Government Debt Management offered an additional issuance equal to 10% of the nominal value sold at the October 23 auction, at the price of accepted bids. The added nominal amounts for series RIKS 37 0115 and RIKS 50 0915 were both zero.

Confirmed

Global impact / market context

This shows the government did not add more of these two bonds beyond the earlier auction. For investors, the supply of these bonds stays the same, and total outstanding amounts remain unchanged, so the added issuance has no effect on bond prices or cash available from this sale.

Analyst inference

The government debt office can sell up to 10% more after an auction, which means extra bonds can be offered at the accepted price. Here that option was not used: both series show zero added, leaving total outstanding amounts unchanged.

Analyst inference

What to watch

1. The article lists total outstanding nominal amounts for RIKS 37 0115 and RIKS 50 0915, which are the current sizes of these two bond series after the auction. Confirmed
2. Future auctions may again include an option to sell up to 10% more at the accepted bid price, so watch later notices to see whether the government uses that extra issuance or leaves it at zero. Proposed
3. If later additional issuance is above zero, the supply of these bonds would rise, which could affect their prices and the cash the government raises, while investors holding the bonds may see values shift. Analyst inference

Evidence

• globenewswire.com