Carrier sells Sri Lanka's first corporate bond

SriLankan Airlines sold a capped $175 million five-year senior bond on Monday, becoming the island nation's first-ever corporate debt issuer on international capital markets.

The state-run carrier’s international bond offering is the second so far this year from the so-called frontier market of Sri Lanka, after the government sold a landmark $1 billion five-year note in January.

SriLankan Airlines priced its note, which is guaranteed by the country's government, at the tighter end of its final price guidance of 5.3% to 5.35%, having already seen it tighten by more than 30bp from an initial price guidance of 5.625%, according to a term sheet seen...