Italy sets yield for new CCTEU, orders top 11.5 bln euros - lead managers
(Recasts with orders, yield set)
ROME, June 24 (Reuters) - Italy's new 7-year long CCTEU bond attracted orders for over 11.5 billion euros ($13.73 billion) on Thursday, based on the memos of three lead managers seen by Reuters.
Italy has set the yield on the April 2029 bond at 69 basis points (bps) over the 6-month Euribor, just below the initial level of 70 bps.
The longer than usual maturity of the new floater reflects Italy's objective of lengthening its debt maturity, UniCredit wrote in a note.
The issue is aimed at fulfilling investor demand for floaters with longer maturities, another strategist told Reuters.
"Investors have to deal with a scenario of gradually rising rates in the medium term, and a longer CCT was missing," the strategist said.
The pricing is expected on Thursday.
The Treasury said on Wednesday it had given a mandate to BNP Paribas, Citigroup Global Markets Europe AG, Monte dei Paschi di Siena Capital Services and UniCredit to manage the sale of the new bond.
($1 = 0.8373 euros)
Reporting by Antonella Cinelli and Yoruk Bahceli; Editing by Angus MacSwan and Jan Harvey
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