UPDATE: UK 2040 Linker Tap To Price Flat To November 2037 UKTI

27th Jul 2010 10:12

(Adds guidance, order book size.) By Mark Brown and Art Patnaude, Of DOW JONES NEWSWIRES LONDON (Dow Jones)--The U.K. has set price guidance on its planned syndicated tap of its 0.625% inflation-linked bond, one of the banks running the sale said 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. Order books are in excess of GBP7 billion and are set to close at 0930 GMT, with pricing expected later Tuesday. 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 Mark Brown and Art Patnaude, Dow Jones Newswires; +44 (0) 207 842 9259; [email protected] (END) Dow Jones Newswires July 27, 2010 05:12 ET (09:12 GMT)