Centrica shuns loan market for EDF deal

Centrica, the UK utility and owner of British Gas, will not tap the loan market to fund its £2.3bn acquisition of a 20% stake in British Energy, the nuclear power company. Instead, the cash element of the deal, totalling £1.1bn, will be financed using proceeds from Centrica’s £2.31bn rights issue completed in December. This comes despite the fact that the company turned to banks at the end of last year, seeking to raise a club loan of about £1bn to back the purchase.

  • 11 May 2009
The move confirmed many bankers’ speculations that the loan had fallen away. “It’s disappointing, but I think its not going to happen any more,” a banker close to Centrica said two weeks ago. “They raised a lot via the rights issue, and they haven’t used any of those ...

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GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 BNP Paribas 15,256 32 17.31
2 Bank of America Merrill Lynch (BAML) 9,637 29 10.93
3 Citi 8,264 22 9.37
4 Lloyds Bank 7,329 24 8.31
5 JP Morgan 6,580 10 7.46

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
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1 Citi 130,010.09 379 11.12%
2 Bank of America Merrill Lynch 104,113.90 304 8.90%
3 JPMorgan 102,778.33 300 8.79%
4 Wells Fargo Securities 93,728.92 276 8.01%
5 Credit Suisse 76,904.09 209 6.58%