/Discount Bank raises NIS 1.5b in two bond series

Discount Bank raises NIS 1.5b in two bond series

Israel Discount Bank (TASE: DSCT) yesterday completed its offering of two new series of unlinked shekel bonds. Demand in the auction, which was aimed at investment institutions, totaled NIS 3.2 billion, of which the bank supplied NIS 1.5 billion.

The interest rate for the first series, with a 3.5-year duration, was 1.87%, 0.69% higher than the yield on equivalent government bonds. Interest on the second series, with a 5.8-year duration, was NIS 2.68%, 0.83% higher than the yield on equivalent government bonds.

Discount Bank’s financing round is part of its multi-year financing strategy designed to diversify the mix of the bank’s sources of financing. The auction results reflect investors’ confidence in the bank and the measures being taken to perpetuate its growth.

Leading Discount Bank’s bond issue were financial markets division head Asaf Pasternak, global treasury manager Ayal Sadovski, and Discount Issuers managing director Gad Barlev. The underwriters were Discount Capital Markets, managed by CEO Hila Himi-Alpert, and Discount Capital Underwriting, managed by chairperson Tzahi Sultan and CEO Liran Ramzovich.

Published by Globes, Israel business news – en.globes.co.il – on December 20, 2018

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