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German Issue in Prague
07 June 1994
PRAGUE -- The Prague branch of German bank Bayerische Vereinsbank AG will be the first foreign company to issue a domestic bond in the Czech Republic, a bank official said. "The issue will total 1 billion crowns ($34 million)," Bayerische Vereinsbank's deputy director, Karel Kratina, said Friday. He declined to comment further on the bond. Prague bond brokers said they expected the issue to have a yield just below those on Czech government bonds. "A low yield would certainly make the currency risk (to foreign investors) on the bond much higher," one dealer said.
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