Marex Group, a UK-based financial services provider, is set to follow up last year's subordinated debt debut with its first euro senior bond.
The borrower has picked Goldman Sachs and HSBC to sound out investor interest for a three year senior unsecured deal, which has an expected size of €300m.
The pair will meet with investors from Monday onwards, with the deal to follow in the near future, subject to market conditions. Marex expects the note to be rated BBB- by both Standard & Poor's and Fitch.
In its full year results for 2022, Marex reported a bumper increase to its pre-tax operating profits, which rose 50% compared to 2021 to £120m. These strong profits help propel its total capital ratio to over 200%.
The UK borrower made its first foray into the subordinated debt market last June with a $100m perpetual non-call 5.5 year additional tier one note, which lead managers Barclays and Goldman Sachs priced at 13.25%.
The sub-benchmark sale was sold like a club deal, said one banker familiar with the deal at the time of issue.
Marex also funds itself by issuing structured notes and has an outstanding $120m secured revolving credit facility.
It was founded in 2005 as an independent commodities broker covering energy, metals, agricultural and financial markets. It previously operated as Marex Spectron.