Tobacco and green battle for attention

Cigarette cigarettes tobacco smoking from Adobe 31Mar20 575x375
By Mike Turner
15 Mar 2021

High grade corporate bond investors were given the choice between a green trade from Finnish paper company UPM-Kymmene Corp and a conventional trade from UK cigarette maker Imperial Brands on Monday, with some investors passing up on the cigarette company on ESG grounds.

Imperial Brands, rated BBB with S&P, opened books on a benchmark March 2033 at 200bp over mid-swaps. This was about 35bp back from fair value, according to a lead.

The issuer saw books rise as high as €2.5bn, before slimming down to €2.2bn by the time the issuer ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial