Bilfinger places first €500m bond

6 February 2013 0 Comments

The engineering and services group Bilfinger has placed its first corporate bond in the amount of €500m. The bond, with a term of seven years until 2019, has a coupon of 2.375% at an issue price of 99.892%. The bond will be listed on the regulated market of the Luxembourg Stock Exchange. Standard & Poor’s recently gave the company a rating of BBB+ and a stable outlook.

“We are very pleased with the successful issue of our first bond and the very good response from investors,” said Joachim Müller (pictured), chief financial officer of Bilfinger SE. “Following the positive company rating we received recently, this represents a further significant component in the implementation of our growth strategy.”

With a final order book of over €5bn, the transaction was more than 10 times oversubscribed. The company said the bond was in demand among investors in German-speaking countries as well as among international institutional investors primarily from the United Kingdom, Scandinavia and the Benelux countries.