RCI Banque joins floater craze for tight €600m, Daimler taps 6yr sterling

Renault car for new website
By Jon Hay
05 Jun 2014

With the growth of floating rate note issuance in Europe recently, it is perhaps surprising that RCI Banque, the finance arm of Renault, had not yet joined the trend. But the revival of FRN investors’ appetite, in terms of size, credit quality and maturity, has been fairly recent, making now the right time to bring RCI, bankers said.

The deal on Tuesday sold well and netted RCI €600m at a funding cost arguably tighter than it could have achieved with a fixed rate bond.

RCI, rated Baa3 (stable), BBB (negative), was absent from the bond market altogether for nearly a year until March, partly because its ...

Already a subscriber?

Continue reading this article

Try full access to GlobalCapital

Free trial