Strong demand for LTA's S$1.3b bond sale

THE Singapore dollar bond market is falling but that has not stopped the Land Transport Authority (LTA) from selling more debt.

Last Thursday, the LTA sold a total of S$1.3 billion bonds in two tranches - five-year and 15-year. Due to strong demand, both tranches were upsized to S$650 million from the initial S$400 million.

DBS handled the sale of the five- year bonds which paid a coupon of 2.73 per cent while OCBC Bank sold the 15-year tranche which has a 3.51 per cent coupon. Both will start trading on Friday.