Mercialys pricing poser shows difficulty of gauging market

Mercialys 230x150
By Mike Turner
30 Jun 2020

Mercialys, the BBB rated French shopping centre owner, launched a sub-benchmark bond with an eye-catching yield on Tuesday, wider than a simultaneous deal by Fiat Chrysler, which is crossover-rated. Syndicate bankers said trying to be precise about pricing and sentiment this week was more difficult than it had been for months.

Mercialys opened books for its €300m no-grow seven year bond at a yield range of 5%-5.25%. This was revised to guidance of 4.875%-5% on books of around €700m and it was priced at the tight end. The latest book size given was €725m.

Meanwhile Fiat, rated Ba1/BB+/BBB-, was issuing ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial