OMV plans hybrid to pay for acquisition after debt rockets

OMV Oil Tanker
By Mike Turner
29 Jul 2020

OMV, the Austrian oil company, plans to print €1.5bn of hybrid debt in the coming 12 months, and some investors say they expect to see more subordinated corporate issuance as issuers try to patch up their Covid-19 ravaged balance sheets.

OMV, rated A3/—/A-, said on Tuesday — before publishing its second quarter results on Wednesday — that it intended to issue a new perpetual hybrid in one or several tranches. 

The proceeds will be used to finance OMV’s acquisition of an additional 39% in compatriot chemical company Borealis. The ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial