DaimlerChrysler yesterday (Thursday) launched the largest ever euro transaction for the auto sector, a Eu6.5bn multi-tranche issue that overcame fears of oversupply, poor sentiment towards the industry, and the recent downgrades the company has suffered. Marketed in line with default swaps and the corporate's equivalent dollar Libor levels, the landmark deal, to be priced today (Friday), offered generous spreads over DaimlerChrysler's outstanding euro debt and generated strong demand - and was quickly bid 2bp-5bp tighter in the grey market.
March 09, 2001