Development Bank of Mongolia opens floodgates for frontier credits

The Asian bond frenzy reached a new height last night as investors welcomed a debut frontier credit -- the Development Bank of Mongolia -- which priced a $580 million five-year bond. More than 300 investors stampeded into the deal, putting in orders of $6.25 billion. The initial guidance was 6% to 6.25%, which was later revised to 5.75% to 6% and the bonds priced at the tight end of that. Deutsche Bank, HSBC and ING were joint bookrunners.