Given the associated hedges, this bond will carry an annual coupon of 1.625%. These funds have been raised with a 65-bp spread over the reference rate, representing a 15-bp improvement compared to its latest 10-years maturity issue in September 2017.
Investors showed a strong interest in this issue, confirming their confidence in Icade’s credit quality and strategy.
Crédit Agricole Corporate and Investment Bank, CM-CIC Markets Solutions, HSBC, Natixis and Société Générale Corporate & Investment Banking were joint bookrunners on the deal.
Furthermore, on the same day, Icade has launched an offer to purchase 3 existing bonds in cash:
- €500 million bonds maturing on 30 January 2019, with a 2.25% coupon (of which €245,100,000 are currently outstanding) (ISIN: FR0011577170);
- €500 million bonds maturing on 16 April 2021, with a 2.25% coupon (of which €454,700,000 are currently outstanding) (ISIN: FR0011847714); and
- €500 million bonds maturing on 14 September 2022, with a 1.875% coupon (of which €500,000,000 are currently outstanding) (ISIN: FR0012942647).
The end of the purchase offer for these 3 existing bonds is scheduled for February 23 , 2018. J.P. Morgan Securities plc and Natixis are bookrunners on this purchase offer.
Icade has been advised by law firm White & Case on these transactions.
S&P affirmed Icade’s BBB+ rating with a stable outlook in August 2017.
With this transaction, Icade is pursuing the dynamic management of its liabilities, which aims at optimizing its average cost while increasing its maturity
