Govt raises Rs70bn in Hybrid Sukuk auction

The Government of Pakistan accepted Rs69.955bn in face value at its November 11 Hybrid Sukuk auction, against a combined target of Rs250bn, Mettis Global reported. Settlement is scheduled for November 12. The accepted amount comprised Rs58.887bn from fixed-rate discounted Sukuk and Rs11.068bn from the 10-year variable rental rate instrument.

The fixed-rate auction drew Rs392.374bn in bids across 3-month, 6-month and 1-year tenors. The 1-year issue had the largest acceptance, at Rs30.009bn, including competitive and non-competitive bids. For the 10-year Sukuk’s second reopening, bids totalled Rs325.940bn against a Rs100bn target, while the accepted amount included Rs10bn in competitive bids and Rs1.068bn in non-competitive bids. Its first-period coupon rate was set at 12.1179%, and the competitive cut-off yield was 12.3624%.