Eskom to auction bond

12 March 2009 – Eskom, South Africa’s national utility, will auction R500 million ($47.81 million) of its ES26 bond with a minimum bidding of R1 million (US$100 000)

The auction will take place on March 18 and the bidding methodology will be on a spread basis to government’s R186 bond which is due in 2026.

Loan guarantees of R175.97 billion (US$17.5 million) over 5 years have been offered to Eskom by the National Treasury so that it may increase its output capacity as part of the utilities expansion plan.