Bank of America Merrill Lynch, Crédit Agricole and JP Morgan will run the books for the five and 10 year tranches of the borrower’s first green bond of the year.
The issuer is aiming for $500m on each tranche, although the mandate did not contain 'no-grow' language. Initial price thoughts are 10bp area over mid-swaps for the shorter leg and 25bp area over swaps for the longer paper.
ADB’s last green bond was a dual tranche three year and 10 year, sold in August 2016. The trade raised a combined $1.3bn.
ADB’s last five year trade, a $3.75bn note sold on February 9, was priced at 18bp over mid-swaps. Its last 10 year, which came as part of a dual tranche in January, raised $1bn, at mid-swaps plus 33bp.
