WASHINGTON, D.C., August 12 -- On August 12, 1996, the International Finance Corporation (IFC) launched a Luxembourg franc (LUF) 2 billion issue (approximately US$ 65.75 million equivalent). The 10-year fixed-rate step-up coupon bonds carry an annual coupon of 5.00 percent per annum from October 9, 1996 to October 8, 2000, 7.00 per cent per annum from October 9, 2000 to October 8, 2003, and 8.75% per annum from October 9, 2003 to October 9, 2006, and an issue price of 102.75 percent. The proceeds of the issue will be swapped into U.S. dollar floating-rate funds
The joint-lead managers of the issue are Banque Générale du Luxembourg, Kredietbank Luxembourg (bookrunners), and Générale de Banque. An additional 11 financial institutions completed the syndicate group.
This transaction brings IFC's market borrowing to about US$1.35 billion for the fiscal year 1997, which began on July 1, 1996.
IFC, a member of the World Bank Group, is the largest multilateral source of financing for private sector companies in developing countries. Its long-term debt is rated AAA/Aaa by Standard & Poor's Corp. and Moody's Investors Service.