By Paul A. Harris
St. Louis, April 30 - TUI AG priced a massively upsized €625 million issue of non-rated seven-year senior notes at par on Friday to yield 6 5/8%, according to a market source.
Price talk was 6 5/8% to 6 7/8%.
The Royal Bank of Scotland, Commerz and WestLB were joint bookrunners for the Rule 144A/Regulation S deal, which has no registration rights.
The notes come with a 75 basis points coupon step up if they are not rated after 18 months.
Proceeds will be used to refinance debt.
The issuer is a diversified travel industry company based in Hanover, Germany.
The issue was upsized from €350 million.
| Issuer: | TUI AG
|
| Amount: | €625 million, increased from €350 million
|
| Maturity: | May 16, 2011
|
| Security description: | Senior notes
|
| Bookrunners: | The Royal Bank of Scotland, Commerz, WestLB
|
| Coupon: | 6 5/8%
|
| Price: | Par
|
| Yield: | 6 5/8%
|
| Spread: | 283 basis points
|
| Call protection: | Non-callable for life
|
| Pricing date: | April 30
|
| Settlement date: | May 7
|
| Ratings: | Non-rated (notes come with a 75 basis points step up if not rated after 18 months)
|
| Price talk: | 6 5/8%-6 7/8%
|
|
|
© 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.
