Malta Government Stocks - New Stock Issues

On 2 February 2010, the Treasury announced the issue of 3 new Malta Government Stocks for a total aggregate amount of €100 million subject to an over-allotment option of up to a further €50 million.

The 3 new stocks are:

(i) 3.75% MGS 2015 (VI) at a price to be determined on Thursday 11 February

(ii) 4.6% MGS 2020 (II) (Fungible Issue) at a price to be determined on Thursday 11 February

(iii) Floating Rate% MGS 2013 (V) available BY TENDER ONLY SUBJECT TO A MINIMUM OF €250,000

The General Public has the possibility of applying in the first two issues (the fixed-rate stocks) in multiples of a €100 and up to a maximum of €100,000 (nominal) per application. For applications in excess of €100,000 (nominal) in respect of the first two issues, a tendering process applies. Subscriptions open on Monday 15 February and close on Wednesday 17 February for the General Public while tenders in the form of sealed bids will be accepted until noon on Friday 19 February.

The Floating Rate MGS 2013 (V) is only available for those investors subscribing for a minimum of €250,000 (nominal) and in multiples of €50,000 thereafter. Such applications must be in the form of sealed bids which must be lodged by noon on Friday 19 February. The floating rate is equal to the 6-month EURIBOR plus 45 basis points (0.45%). The actual rate payable will be determined 3 working days prior to the respective interest payment dates on 24 February and 24 August each year. The rate on this 3-year MGS is subject to a minimum of 1.35% and a maximum of 3.85% per annum. The EURIBOR, or Euro Interbank Offered Rate, is the rate at which euro interbank term deposits are being offered by one prime bank to another within the European Monetary Union.

Further information is available in the Prospectus dated 2 February 2010 issued by the Government of Malta. Investors interested in applying in any of the Malta Government Stock issues are kindly requested to complete an Authorisation to Apply Form. Pricing details will be announced on our website on Thursday 11 February. For any clarifications, please send an email to trading@rizzofarrugia.com or contact us on +356 2258 3000.

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