2nd UPDATE: UK 2040 Linker Tap Size Set At GBP6.0 Billion

27th Jul 2010 10:58

(Adds size, order books.) By Art Patnaude and Mark Brown Of DOW JONES NEWSWIRES LONDON (Dow Jones)--The U.K. has set the final size on the syndicated tap of its 0.625% inflation-linked bond at GBP6 billion, bringing the total size of the issue to GBP9.5 billion, one of the banks running the sale said Tuesday. Order books closed on the way to GBP10 billion, with pricing expected later Tuesday. The tap will price flat to the 1.125% linker maturing November 2037, in line with initial guidance set for a spread of between zero and two basis points over the 2037 bond. The U.K. is rated Aaa by Moody's Investors Service Inc., and AAA by Standard & Poor's Corp. and Fitch Ratings. Deutsche Bank AG, Goldman Sachs Group Inc., HSBC Holdings PLC, and Royal Bank of Scotland Group PLC are bookrunners of the deal. -By Art Patnaude and Mark Brown, Dow Jones Newswires; +44 0 207 842 9259; [email protected] (END) Dow Jones Newswires July 27, 2010 05:58 ET (09:58 GMT)