Maersk 500 mln eur bond issue oversubscribed-source

  


« Back to news

20 Nov 2010

maerks_logo_only.gifDanish shipping and oil group A.P. Moller-Maersk sold 500 million euros ($698.5 million) worth of new seven-year bonds in an oversubscribed offering that was part of a policy to diversify its funding. The books closed at 1015


GMT on Friday after the issue was oversubscribed with orders totalling
more than 1 billion euros, a market source close to the deal said.

The price was indicated at mid-swaps +175 basis points, Danske Bank, one of the bookrunners, said.

Barclays, BNP Paribas, HSBC, Royal Bank of Scotland and Danske were bookrunners.

The group has no immediate plans to obtain a rating as a debt issuer, Maersk's head of finance Jan Kjaervik told Reuters.

It would seek to build up a portfolio of bonds with various maturities,
and it would make sense to have maturities of three, five and seven
years, Kjaervik added.

A.P. Moller-Maersk, which owns the world's biggest container shipping
company Maersk Line, entered the corporate bond market for the first
time last year with a 750 million euro issue followed by a 4 billion
Norwegian crown ($689.2 million) issue.

The group has repeatedly said it aims to diversify its sources of
funding and bonds would gradually play a larger role in its financing,
replacing conventional bank debt.

A.P. Moller-Maersk said in its first-half report last week its net
interest-bearing debt fell by $4.4 billion to $13.7 billion in the nine
months to end-September.

Shares in A.P. Moller-Maersk traded off 1.4 percent by 1134 GMT,
underperforming the Copenhagen bluechip index .OMXC20 which was up 0.2
percent.




Source: Reuters

Sources:  www.Shipid.com

Maersk Line is one of the leading liner shipping companies in the world, serving customers all over the globe.

EMMA MAERSK Container vessel   -   Schedules  |  Specification  |  Engine  |  Photo gallery  |  News  |  Shipping Lines Directory  |  Freight Directory
Copyright 2018 © www.emma-maersk.com   Development - LOWSTORM