From Yahoo Finance · · 1m 10s
Assemblin Caverion's €1.5B Floating-Rate Note Deal
Assemblin Caverion secures €1.53 billion floating-rate note in record European high yield transaction.
In brief
Assemblin Caverion secures €1.53 billion floating-rate note in record European high yield transaction. Assemblin Caverion priced the second-largest euro-denominated floating-rate note ever sold by a European high yield borrower, totaling €1.53 billion. Originally reported by Yahoo Finance.
Deal Announcement
Assemblin Caverion priced the second-largest euro-denominated floating-rate note ever sold by a European high yield borrower, totaling €1.53 billion.
Record Transaction Size
The deal cleared at E+300, offered at par, and tops previous records including Wind Tre's €2.25 billion deal from 2017.
Market Activity
Assemblin Caverion's €4.53 billion high yield slate on Sept. 16 was the busiest day of the year in volume terms for the European primary high yield market.
Debt Strategy
The group merged a higher-cost €780 million E+350 FRN into the new tranche, a strategy common for high yield borrowers with callable debt.
Investor Response
A high yield bond fund manager noted increased allocation to floating-rate debt from 15% to 20% in recent weeks, planning to raise it to a quarter of the portfolio.
Company Background
Assemblin Caverion formed in 2024 after Triton merged its technical installations company with Caverion, the Finnish construction systems group taken private for €1.12 billion.
In short
Assemblin Caverion priced the second-largest euro-denominated floating-rate note ever sold by a European high yield borrower, totaling €1.53 billion.
