Iberdrola taps tightly, bringing deal to €1bn

Iberdrola, the Spanish electricity company, followed the recent example of Telefónica by tapping its recent €750m bond issue on Monday even before the deal had settled, soaking up excess demand in the market after a strong tightening in the underlying security. "The lead managers all saw how much Iberdrola had tightened from when we issued the new five year at 360bp over mid-swaps, and we were able to get something done today at 295bp," said a syndicate banker at one of the leads.