Berkshire drops euros, breaks sterling record

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By Jon Hay
12 Jun 2019

The sterling corporate bond market has shown surprising strength for issuers in short maturities this year, but on Wednesday its traditional forte shone through — the ultra-long end, where, as so often, the curve is inverted. Berkshire Hathaway found such good funding there that it scrapped a planned euro issue altogether and raised £1.75bn in sterling.

“If you look at sterling deals 20 years and longer, this is the biggest one ever,” said a banker on the deal. “It’s a continuation of US issuers coming to non-dollar markets, where coupons are lower. Berkshire is a pretty unique animal — it’s not a corporate, a financial ...

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