Malta Government Stocks - Pricing of New MGS Issues

Further to the announcement of 2 February related to the issue of the new Malta Government Stocks, the Treasury today established the prices for the 2 new fixed rate stocks as follows:

  • 3.75% MGS 2015 (VI) FI at 100.25% for every €100 nominal giving a yield to maturity of 3.7% per annum;
  • 4.6% MGS 2020 (II) FI at 100.00% (par) for every €100 nominal giving a yield to maturity of 4.6% per annum.

With regards to the Floating Rate Malta Government Stock 2015 (V) linked to the 6-month Euribor, the Treasury will announce the initial interest rate on Monday 22 February.

The total aggregate amount is of €100 million (subject to an over-allotment option of up to a further €50 million).

With respect to the first two issues, the General Public has the possibility of applying in any of the issues at up to a maximum amount of €100,000 (nominal) per application. For applications in excess of €100,100 (nominal), a tendering process applies.

Subscriptions open on Monday 15 February and close on Wednesday 17 February for the General Public. Meanwhile, tenders must be lodged by Friday 19 February at 12 noon.

Meanwhile the offer of the Floating Rate MGS 2013 (V) may be taken up by those investors wishing to tender subject to a minimum of €250,000 (Nominal) and in multiples of €50,000 thereafter. Such application 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.

Investors interested in applying for any of the Malta Government Stock Issues are kindly asked to complete an Application Form (accompanied by full payment) and to forward this to our office by Wednesday 17 February.

Copy of applications available below:

3.75 MGS 2015 (VI) – Application Form

4.60 MGS 2020 (II) FI – Application Form

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