France Draws €135 Billion in Orders for New 33-Year Bond

France raised €8 billion through a new 33-year government bond on Wednesday, tapping into a massive wave of investor appetite that saw orders exceed the supply by nearly 17 times. The issuance of the May 2057 OAT represents the country's second major syndicated deal of the year, signaling robust confidence in long-dated European sovereign debt.

February 11, 2026, 03:27 PM 0 0

France Draws €135 Billion in Orders for New 33-Year Bond

The transaction attracted an order book of more than €135 billion, according to lead manager banks. This figure includes €2.45 billion in interest from the joint lead managers themselves. The overwhelming demand allowed the French Treasury to price the debt at a yield of 4.439%, with a coupon set at 4.40%. The bond was priced at 99.329, representing a spread of 4 basis points over the existing May 2056 OAT.

Market Context and Strategy

This sale marks a significant moment for France's borrowing strategy in a year characterized by high-volume syndicated issuances. On January 14, the country successfully launched a 22-year bond maturing in May 2046, which drew over €106 billion in bids for a €10 billion issuance. The escalating interest for the 2057 maturity suggests that institutional investors are increasingly looking to lock in higher yields amid shifting expectations for long-term interest rates.

A consortium of five major financial institutions managed the transaction: