Irish Stock Exchange first in Europe to list Global Depositary Notes

The Irish Stock Exchange (ISE) has admitted the first ever Global Depositary Note (GDN) to a European exchange market.

The GDN is in the form of a US$70m denominated GDN issued by Citibank N.A. in New York and relates to an offering by Pemex, the Mexican state-owned petroleum company, of a 7 billion (7.65%) Mexican Peso debt due in 2021.

The GDN security has been admitted to the ISE’s Global Exchange Market (GEM).

A GDN is a debt instrument created by a depositary bank, such as Citibank, that evidences ownership of a local currency-denominated debt security. GDNs emulate the terms (interest rate, maturity date, credit ratings) of particular local currency-denominated bonds but they trade, settle, and pay interest and principal in US dollars.

A GDN gives investors exposure to the local currency-denominated debt security without having to directly hold that debt security in its local currency.

Mr Gerard Scully, Director of International Primary Markets at the Irish Stock Exchange, said: "We are delighted to admit the Pemex GDN to the ISE’s Global Exchange Market and to be at the forefront of ensuring this innovative new offering is available in the European market.

The listing requirements for GDNs enhance transparency for investors in these securities. As a result, Citibank can offer this GDN security to a potentially wider pool of investors. We are confident following the admission of the Pemex GDN that the ISE can attract additional GDNs to public markets."

Mr Charles Moser, Executive Director of Morgan Stanley, which acted as the Sole Structuring Agent for this GDN, said: "We believe the listing on the ISE will increase the liquidity and marketability of the notes and entice other issuers to consider accessing the market in this way."