The Eurobond issue marks the first time the company has tapped the capital market following its recent classification in the Investment Grade. The eight-year bond bears a fixed coupon of 1.50%/year. The issue price is at 98.529%, resulting in a yield to maturity of 1.694%. These terms are said to be the most attractive HeidelbergCement could ever secure in this maturity segment. Joint Bookrunners of the transaction are Banca IMI, BNP Paribas, Deutsche Bank and Morgan Stanley.
HeidelbergCement says the proceeds of the transaction will be used for general corporate purposes and for the refinancing of the Eurobond maturing in January 2017.
