Austrian listed property group Immofinanz has kicked off its roadshow for the placement of a new corporate bond targeting a volume of at least EUR 75 mln.
Austrian listed property group Immofinanz has kicked off its roadshow for the placement of a new corporate bond targeting a volume of at least EUR 75 mln.
With a denomination of EUR 1,000, the security is particularly attractive for private investors. The bond will be offered in Austria, Germany and Luxembourg from 18 to 22 June 2012. The interest rate is expected to equal 5.25%, but the exact rate will be determined as part of the book-building process and announced immediately before the start of the subscription period. The bond has a five-year term. The value date is expected to be 3 July 2012.
Bawag, Raiffeisen Bank International and UniCredit Bank Austria will serve as lead managers for the transaction. The company plans to use the proceeds primarily to refinance the convertible bond 2007-2017, which carries a put option for bondholders, as well as for general corporate purposes.
'In view of the current low interest rates on savings, we are optimistic that our retail bond will be well received by the market. This bond, which represents an alternative form of investment along with Immofinanz shares, also creates an opportunity to participate in the success of our company at attractive conditions,' commented CEO Eduard Zehetner.
The Austrian capital market has seen successful corporate bond placements by 14 companies so far this year.
