Strong demand pushes Old Mutual to increase buyback

28 Jun 2011

Insurer Old Mutual has increased the buyback of its Eu750m 4.5% 2017 tier two bond after investors put forward 97% of the issue for the cash tender offer.

The insurer increased the buyback amount to Eu550m from an initial target of Eu500m, after investors tendered Eu727.5m of bonds.

The par buyback price offered a slim premium to the 99.85 cash price where the bond was trading before the offer was launched — but that was enough to entice investors ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial