By Paul A. Harris
Portland, Ore., April 10 – TUI AG priced an upsized €350 million issue of five-year senior notes (B3/B-/B-) at par to yield 6¼% on Wednesday, according to market sources.
The issue size increased from €300 million.
The yield printed 12.5 basis points tighter than yield talk in the 6½% area. Initial guidance was in the high-6% area.
JPMorgan was a physical bookrunner. Joint bookrunners were Commerzbank Bank, BNP Paribas, Citigroup, Credit Agricole, DZ Bank, LBBW and UniCredit.
The Hamburg, Germany-based cruise line plans to use the proceeds plus balance sheet cash to repay a portion of the KfW credit line, to repay ECA debt deferral and to repay a portion of its term loan I. Incremental proceeds resulting from the €50 million upsize will also be used to refinance debt.
| Issuer: | TUI AG
|
| Amount: | €350 million
|
| Issue: | Senior notes
|
| Maturity: | April 12, 2029
|
| Physical bookrunner: | JPMorgan (bill and deliver)
|
| Global coordinators: | JPMorgan and Commerzbank Bank
|
| Joint bookrunners: | Commerzbank Bank, BNP Paribas, Citigroup, Credit Agricole, DZ Bank, LBBW and UniCredit
|
| Coupon: | 6¼%
|
| Price: | Par
|
| Yield: | 6¼%
|
| Spread: | 387 bps
|
| First call: | April 15, 2026 at 103.125
|
| Trade date: | April 10
|
| Settlement date: | April 24
|
| Ratings: | Moody’s: B3
|
| S&P: B-
|
| Fitch: B-
|
| Price talk: | 6½% area
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
