The Baku Stock Exchange (BSE) held an auction on the placement of medium-term bonds of the Azerbaijani Ministry of Finance in the amount of 20 million manat ($11 million) on Feb. 23, 2021, Trend reported.
The term of maturity is 1,092 days.
During the auction, 15 investors filed 22 bids in the price range from 93.65 manat ($55.08) with a yield to maturity (YTM) of 10 percent to 98.04 manat ($57.67) with a YTM of 8.25 percent.
In accordance with the decision of the finance ministry, the cut-off price of bonds reached 97.4 manat ($57.29) with the YTM of 8.5 percent, and the weighted average price – 97.48 manat or $57.34 (8.47 percent).
The total amount of orders at nominal prices amounted to over 75.9 million manat ($44.64 million), and the volume of placement is 30 million manat ($17.64 million).
The maturity date is Feb. 20, 2024.
The volume of bonds offered by the issuer can be increased up to 50 percent if during the auction state bonds exceed the supply of demand and the issuer is pleased with the price.
Participants in the auction must fulfill their obligations to purchase bonds till February 24, 2021.