Slovenia Rushes Back to Market With East Europe’s Longest Bonds

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Slovenia is planning a quick return to the European debt market, with a pioneering 60-year bond.

The ex-Yugoslav eurozone nationplans to offer benchmark-size notes due March 2081 via BNP Paribas SA, Deutsche Bank AG, Goldman Sachs Group Inc. and HSBC Holdings plc, according to a person familiar with the matter, who asked not to be identified because of a lack of authorization to speak publicly.

The plan adds to aflurry of Europe’s syndicated public-sector deals, which reached a record 124 billion euros ($151 billion) this month. Slovenia has been part of the deluge already: it was among the first sovereigns to offer bonds this year,coming to market on Jan. 5 with a new 10-year bond and a tap of notes due 2050.

The country of 2.1 million people islagging most European Union peers in handling the second wave of the coronavirus pandemic, which is putting pressure on the government of Janez Jansa. Slovenia’s economy shrank 6.6% in 2020 and the government estimates it will rebound 4.3% this year.

Bonds with a tenor of 50 years and more are a rarity in central and eastern Europe. Poland sold 500 million euros of 50-year bonds in 2005, while Slovenia sold as much of same-length securities in 2018. The Czech Republic’s local-currency bond is the only other 50-year bond offered from the region, according to data compiled by Bloomberg.

— With assistance by Jan Bratanic, Marton Eder, and Lyubov Pronina

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