High Yield Bonds - All Articles

  • Seats to upright as Lufthansa helps airline bonds take off

    Deutsche Lufthansa showed decisively that bondholders will buy airlines again, without relying on extra security, extra upside, or anything beyond a broad-based mood of credit euphoria sending risk assets soaring.

    • 25 Nov 2020
  • Greene King securitization faces default as bondholders face a choice

    Greene King’s pub securitization Spirit Issuer is expected to default this year, after bondholders declined to waive potential covenant breaches in the same way they did for other pubcos, including the company's larger, whole business securitization. This will give bondholders the right to enforce security, but will test whether creditors want to take over the assets outright.

    • 25 Nov 2020
  • Shui On adds $200m to green bond

    Shui On Land tapped its 5.75% 2023 bond on Tuesday for an additional $200m, bringing the unrated deal to $500m.

    • 25 Nov 2020
  • United Group scores deal size boost in driveby

    Balkan telecoms and cable company United Group slipped into the high yield market Monday to launch a drive-by bond as it released its earnings results, seizing on strong market conditions to repay its revolving credit facility and part-fund the purchase of Greece’s Forthnet.

    • 24 Nov 2020
  • Future Retail bonds boosted by Reliance news

    Bonds from India’s Future Retail rallied in the secondary market this week, after Reliance Industries got approval to buy the struggling business.

    • 24 Nov 2020
  • Lufthansa rides vaccine tailwinds to follow convertible with senior deal

    German flag carrier Lufthansa mandated a new unsecured bond on Monday, two weeks after it stormed into the convertible market on the back of the rally sparked by positive Covid-19 vaccine trials. The airline might have lost its investment grade ratings, but it is sticking to high grade bond execution norms, prepping a Reg S-only unsecured issue from its EMTN shelf.

    • 23 Nov 2020
  • Evergrande’s bonds, stocks up on SOE tie-ups

    China Evergrande Group got a boost to its bond and stock prices on Monday, after its flagship subsidiary convinced a large group of equity holders not to exercise a put option. The company also secured two new state-backed investors.

    • 23 Nov 2020
  • Investors still waiting for Changxing's debut bond

    Changxing Urban Construction Investment Group Co, a Chinese company focused on construction services, announced its debut dollar transaction on Thursday. But the deal was not priced as of Monday, GlobalCapital Asia understands.

    • 20 Nov 2020
  • Ford loads up Sfr230m in Swissie return

    Ford shrugged off its loss of investment grade status to return to the Swiss franc market this week after a 19 year absence to print a three year deal targeted at private bank investors.

    • 19 Nov 2020
  • Rolls-Royce lands cash call after flight risk

    UK aerospace company Rolls-Royce managed a smooth landing for its mid-pandemic equity raise despite turbulence within its inner circle of advisers. It was a triumph for strong management, writes David Rothnie.

    • 19 Nov 2020
  • Boparan pulls off long-awaited rescue refi

    If a company’s bonds were yielding more than 40% last December, what would have been the chances it would be in a position to raise market funding this week? That’s exactly what UK poultry producer Boparan has achieved in an extraordinary reversal of fortunes against the backdrop of a global pandemic.

    • 19 Nov 2020
  • Carnival makes collateral-free market return

    Carnival Corporation, the world’s largest cruise operator, is marketing its first unsecured bond since the Covid-19 crisis began, taking advantage of the vaccine rally and optimism about the industry’s future to source uncollateralised funding.

    • 19 Nov 2020
  • AC Energy powers up fixed-for-life bond structure

    Philippine company AC Energy found good support for a $300m fixed-for-life green perpetual bond on Wednesday, with demand from existing and new investors, as well as domestic fund managers.

    • 19 Nov 2020
  • NRG prices bonds for M&A, including sustainability-linked debut

    NRG Energy has priced a roughly $3.8bn five tranche bond offering — including the first ever sustainabilty-linked notes from a US issuer — to finance its acquisition of North American energy retailer Direct Energy.

    • 18 Nov 2020
  • Central China pushes out $300m bond

    Central China Real Estate paid up for its $300m return to the bond market on Tuesday, navigating weaker investor sentiment to get its deal over the finish line.

    • 18 Nov 2020
  • Infopro preps cap stack clean-up with new bond

    Infopro, a business information company owned by Towerbrook, is offering a new bond this week to clean up some coronavirus pandemic-driven features of its capital structure, including paying back state-guaranteed debt and its drawn revolver. The new bond will also push out debt maturities through by repaying a 2022 bond.

    • 17 Nov 2020
  • Jingrui nets $240m from LM outing

    High yield property company Jingrui Holdings raised $240m on Monday as part of an exchange and new money exercise.

    • 17 Nov 2020
  • Renault rides bond market backing months after bailout

    Renault, the French car maker, issued on Monday its first bond since taking a €5bn state-backed loan. Investors piled into the deal.

    • 16 Nov 2020
  • Boparan next in line for stressed refinancing

    Boparan, the UK food production and restaurant business, began marketing a £475m high yield bond on Monday. The deal follows Aston Martin, Lowell and PureGym, three refinancings done in the past month for companies under stress as a result of the coronavirus pandemic.

    • 16 Nov 2020
  • Bond market gets slow start as Trump, onshore China default raise caution

    Asia’s primary bond market started on a slow note on Monday, surprising debt bankers who were gearing up for strong deal flow. But recent announcements from the US over China investment, coupled with rising US Treasury yields and a default in the Mainland bond market, have given issuers some pause.

    • 16 Nov 2020
  • Chinese government-owned trio raise dollars

    Government-backed Chinese issuers Shandong Hi-Speed Group Co, Wuhan Trading Group and a local government financing vehicle from Xi’an ventured to the offshore dollar bond market on Thursday. They raised a combined $880m.

    • 13 Nov 2020
  • Jefferies' European IB engine starts to purr

    Jefferies has enjoyed a record year in European investment banking, powered by equity capital markets, writes David Rothnie.

    • 12 Nov 2020
  • Sterling leads the way in high yield, for once

    Sterling supply in high yield and leveraged loans has proved a rare sight since the 2016 Brexit vote, with UK-based borrowers preferring to seek euro funding where possible. But this week saw four deals in the currency — a relative bonanza.

    • 12 Nov 2020
  • Thames Water holds tender offer to term out holdco debt

    Thames Water’s holding company launched a sub-investment grade bond and tender offer to push out its 2022 maturity, announcing the new bond as markets firmed up on Monday.

    • 12 Nov 2020
  • Gambling firms spin the wheel on Covid-19 response

    The Covid casino has produced winners and losers among Europe’s high yield gaming firms, with lottery firm Sazka securing a fat equity cheque from Apollo, while Codere has some worried that its restructuring, wrapped up in October, did too little to cut its debt burden.

    • 12 Nov 2020
  • No sweat: banks exit long-held PureGym bridge in perfect market window

    Market euphoria following news of Pfizer’s potential Covid vaccine created a perfect window for lead banks Barclays and Jefferies to sell out of a bridge loan for UK fitness chain PureGym, which they had held since underwriting it in January — one of the last pre-Covid acquisition loans yet to come to market.

    • 12 Nov 2020
  • Savvy Asian issuers drive LM to the mainstream

    Chinese property borrowers are increasingly taking a strategic approach to managing their liabilities by tendering old notes when new bonds are announced. The trend has taken off this year, and is set to be the norm as issuers become more proactive in tackling their refinancing needs sooner rather than later. Morgan Davis reports.

    • 12 Nov 2020
  • Chinese borrowers rush to bond market

    A flurry of Chinese corporations rushed to the dollar bond market on Wednesday, raising a total of $1.19bn between them.

    • 12 Nov 2020
  • Debt buyer double as Hoist and Encore prep refinancings

    Debt purchasing firms Encore and Hoist launched new refinancing transactions on Wednesday, taking advantage of good market conditions to strengthen their capital structures ahead of a likely NPL flood next year.

    • 11 Nov 2020
  • Redco uses up bond quota to meet refi needs

    Redco Properties Group has tackled some of its upcoming maturities by selling a new $266m bond to refinance debt.

    • 11 Nov 2020
  • Pfizer helps PureGym banks out of a hole

    Market euphoria following news of Pfizer’s potential Covid-19 vaccine has helped underwriting banks dodge a likely loss on one of the hardest bridge loans to shift all year, with the bond now guided six points higher than at launch and nearly three times covered.

    • 10 Nov 2020
  • UK leads the way in HY as three sterling bonds prepped

    Sterling supply in high yield and leveraged loans has proved a rare sight since the 2016 Brexit vote, with UK-based borrowers preferring to seek euro funding where possible. But this week has brought a relative bonanza — three deals — in the currency.

    • 10 Nov 2020
  • China property companies keep up bond momentum

    Three Chinese property companies launched dollar bonds on Monday, continuing to take advantage of the post-US election momentum.

    • 10 Nov 2020
  • Thames Water preps tender to term out holdco debt

    Thames Water’s holding company is preparing a sub-investment grade bond and tender offer to push out its 2022 maturity, launching the new offer as markets firmed up on Monday.

    • 09 Nov 2020
  • US election certainty prompts PureGym bridge launch

    Strong markets on Monday morning helped Barclays and Jefferies launch the long-awaited bridge financing for PureGym’s takeover of Fitness World, one of the last pre-Covid facilities yet to come out in the capital markets.

    • 09 Nov 2020
  • Bond market bounces back after US elections

    Three property companies from Greater China hit the bond market last Friday, raising $850m between them even as the US presidential election battle raged on. With Joe Biden now announced as the president-elect, the issuance spree in Asia only picked up pace on Monday.

    • 09 Nov 2020
  • Styrolution takeout slated for next year

    Ineos Styrolution’s financing for its $5bn purchase of BP’s aromatics and acetyls businesses is likely to hit the market in January, according to company management, with existing term loans refinanced but bonds potentially remaining outstanding.

    • 05 Nov 2020
  • After Asian bond issuers step back for the US election, bond bankers prepare for busy return

    Asia’s dollar bond issuers hit pause this week as all eyes turned to the outcome of the nail-bitingly close US presidential election. With the result still uncertain on Thursday, but signs showing a Joe Biden victory as a possibility, some bankers in the region reckon the debt market may be at full throttle from next week. Morgan Davis reports.

    • 05 Nov 2020
  • Fujian Yango serves up 12% bond yield

    Fujian Yango Group Co returned with another high yielding bond on Tuesday, making it the only Asian issuer to brave the primary dollar debt market ahead of the US election.

    • 04 Nov 2020
  • Aston offers upside as weak market clobbers rescue package

    Aston Martin’s rescue financing was battered by brutal markets late last week, with the Crossover widening around 40bp between announcement and pricing, and risky triple-C rated bonds selling off still further. Tuesday’s price talk of high 8% to 9% proved far too ambitious for the troubled UK car manufacturer and the deal eventually cleared at 10.5% on Friday afternoon, with investors offered extra upside through a longer non-call to tempt them into the book.

    • 02 Nov 2020