Hardware store Obi launches Schuldschein
Obi, the German DIY store, has launched a Schuldschen across three, five and seven years, according to market sources. The spread differential between three and five years is steeper-than-usual, to coax investors further along the maturity curve.
BayernLB and BNP Paribas are arranging the deal.
The initial target is €250m, but that could rise with demand. Spread targets are 85bp for three years, 110bp for five and 125bp for seven. The notes will be priced over mid-swaps for fixed, and six month Euribor for floating....