Irish Life & Permanent plc, the parent of Irish Permanent International, the Isle of Man offshore banking subsidiary, has raised US $1.75 billion through the issue of a public fixed rate bond, the first of its kind to be issued by an Irish financial institution under the terms of the Eligible Liabilities Scheme (ELG) which commenced in December 2009.

The bond, which was issued for a term of three years, was priced at a margin of 165bps over US dollar swap rates and was significantly oversubscribed, attracting strong international support from investors which included leading institutions in the United States, Europe and Asia.

Irish Life & Permanent Group Treasurer Michael Torpey said, "We are very encouraged by the reaction to the issue from investors, particularly those in the US and Asia who are perhaps a little less familiar with the Irish market."

The ELG scheme is operated by the National Treasury Management Agency and liabilities guaranteed under the scheme can have a maturity of up to five years.

Irish Life & Permanent Group CEO Kevin Murphy comments, "The success of this issue is very encouraging for the Group and also for the new Guarantee Scheme.  It reflects the improving sentiment towards Ireland and Irish debt, which was evident through last year, and upon which I believe we can build further over the course of 2010."

Commenting on the success, Managing Director of Irish Permanent International on the Isle of Man, Philip Murray said, "The success of the issue of the bond is exceptionally good news for us especially for our international deposit business.  It is a positive reflection on the Group as a whole and is an encouraging indication of increased confidence in Ireland."