Tengiz tempts investors

摘要

Kazakhstan's tengizchevroil (TCO) laid out the welcome mat for investors with its comeback deal, with more than US$3bn of orders for an offering that was watched closely to see where it would be priced relative to the sovereign. TCO (Baa2/BBB), which is 50% owned by Chevron and 25% by Exxon Mobil, sold a US$1bn 10-year amortiser, with a weighted average life of 9.8 years, at 250bp over Treasuries. That was about 20bp back of Kazakhstan's July 2025s, which were spotted at a G-spread of 228bp, according to Eikon, although a banker close to the deal reckoned it came flat to where a new 10-year bond issue from the sovereign would be priced, taking into account the extension of the curve and a new issue premium.