A massive $50 million Government bond has sold out, Minister of Finance Bob Richards said today.

Mr Richards added that more than two-thirds of the bond orders — aimed at raising cash to reduce the Island’s debt — went to smaller investors and 90 percent of them were Bermudian.

He said: “I am pleased with the results of this successful bond offering which was the first local public bond offering by the Government of Bermuda for many years.”

The ten-year bond — with a yield of 4.75 percent — was announced earlier this month.

Mr Richards added: “I am also particularly delighted with the competitive rate attracted by this issue.

“This transaction has also created a new source of funding for the Government and expanded local capital markets.

“It has also provided a new investment product and opportunity locally which keeps capital here on the Island.”

Government said the issue was “broadly distributed” across nearly 250 retail, high net worth and local institutional investors — including Butterfield, which acted as underwriters for the bond.

Launching the bond, Mr Richards pledged that smaller investors would be given priority.

But the final figures for the issue revealed that all retail and high net worth investors who submitted subscription forms by the deadline were able to get 100 percent allocations as well.