Further evidence of the hot market in corporate bonds, via Evolution Securities (emphasis ours):
Virgin Media [VMED] Co priced its new senior secured notes, which was massively upsized to £1.5bn equivalent from £500mm (quite the triple play offering). The 7% £875mm notes priced at 98.503 to yield 7.25% and the 6.5% $1bn notes at 98.4888 to yield 6.75%, both in line with price talk. Deal reduces its bank debt to just over £1.6bn and, combined with the three bond offerings in 2009, has removed the refi concerns that hung over the co at the start of last year.
That’s right – tripled.
No wonder the likes of Manchester United have decided to tap the market.
Related links:
Rate rise fears spark rush to issue bonds – FT
Football finance: Man Utd edition (updated) – FT Alphaville
PIKing apart the Man Utd refinancing – FT Alpaville
Virgin starts to refinance debt – FT