TAG Immobilien suffered from a lack of name recognition and low availability of stock borrow when pricing its €85.3m seven year convertible, forcing it to price at the cheap end of guidance and pushing the stock down, ECM bankers said on Tuesday.
The German real estate developer priced the deal on Monday afternoon through lead manager Deutsche Bank. It set terms at the cheap end of guidance from an investor perspective, with the conversion premium fixing at 20% and the coupon at 5.5%. The size was also smaller than the
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