Engie: issue and repurchase of hybrid bonds
(CercleFinance.com) - Engie has announced the issue, on Thursday 19 November, of an 850 million euro hybrid bond in the form of a green bond.
The securities carry an annual coupon of 1.5%, which is the lowest level ever for a company for an 8-year maturity.
The new issue premium, 0.25% below the secondary market price, is also one of the lowest ever seen on the market, Engie says.
At the same time, the group launched a buyback offer on three of its outstanding hybrid bonds. The offer, which closed on 25 November 2020, enabled Engie to repurchase 850 million euros of existing bonds, an amount equal to the new issue.
The transaction enables Engie to extend the maturity of its hybrid debt by 1.1 year, while reducing its recurring cost by 0.30% on an unchanged outstanding basis.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The securities carry an annual coupon of 1.5%, which is the lowest level ever for a company for an 8-year maturity.
The new issue premium, 0.25% below the secondary market price, is also one of the lowest ever seen on the market, Engie says.
At the same time, the group launched a buyback offer on three of its outstanding hybrid bonds. The offer, which closed on 25 November 2020, enabled Engie to repurchase 850 million euros of existing bonds, an amount equal to the new issue.
The transaction enables Engie to extend the maturity of its hybrid debt by 1.1 year, while reducing its recurring cost by 0.30% on an unchanged outstanding basis.
Copyright (c) 2020 CercleFinance.com. All rights reserved.