Sole underwriter ABN AMRO has a priced a debut $125 million five-year high-yield bond deal for Hong Kong-listed Ocean Grand Holdings. From the beginning, the BB- SP deal was considered a difficult sell given the recent volatility in the high-yield market and a spate of pulled deals.
Indeed, after witnessing a slow pick up in demand, the lead ended up having to price above its initial range between 9% and 9.25%. Final pricing came in at 99.515% on a semi-annual coupon of 9.25% to yield 9.375%, equivalent to 497.5bp over US Treasuries. Lifting the yield enabled the order book to close almost two times oversubscribed.
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