On 11 August, the Treasury announced that it received applications from the general public for the two new Malta Government Stocks for a value of nearly €186.0 million (nominal). In fact, it will be exercising its over-allotment option and increasing the aggregate amount to €160.0 million.
The Treasury stated that the 14 applications for the 1.5% MGS 2022 (IV) having a total nominal value of €5,265,500 will be accepted in full. Meanwhile, with respect to the applications received for the 2.4% MGS 2041 (I), which amounted to just below €180.7 million, the following allocation policy will apply:
- Applications up to €50,000 (nominal) will be met in full;
- Applications in excess of €50,000 (nominal) will receive €50,000 (nominal) in full plus an additional 15% of the remaining unallocated balance rounded up to the nearest €100.
The Treasury indicated that it will be satisfying nearly 85.5% of the total nominal amount of applications received in the 2.4% MGS 2041 (I).
Interest on the two new MGS started accruing as from Monday 8 August 2016. In due course, the Treasury will be announcing the date when the refunds of unallocated funds will be made.