Priced Friday lunchtime GMT, the Baa1BBB rated credit launched a maiden $300 million ten year bond offering at 99.099% with a coupon of 6.375% and yield of 6.499%, equating to 225bp over Treasuries.
At these levels, Jardine Strategic's deal breaks the existing record held by Castle Peak Power, whose $172.5 million transaction due August 2003 has a coupon of 6.870%. It also easily surpasses all Hong Kong borrowers that have accessed the market this year including its own higher rated subsidiary Hongkong Land and Hutchison Whampoa, both of whom got 7% coupons for their respective 10-year deals earlier in the year.
Bankers say that the low absolute borrowing cost Jardine's has been able...
