Mobile operator Softbank has announced it is planning to issue Y130bn (US$1.6bn) worth of unsecured bonds.
The issuance is split between a Y100bn (US$1.2bn) five-year bond with a 1% coupon rate and a Y30bn (US$374m) three-year bond with a coupon of…
Mobile operator Softbank has announced it is planning to issue Y130bn (US$1.6bn) worth of unsecured bonds.
The issuance is split between a Y100bn (US$1.2bn) five-year bond with a 1% coupon rate and a Y30bn (US$374m) three-year bond with a coupon of 0.65%.
The bonds will be used to redeem bonds, repay borrowings and carry out “payments relating to the December 2010 acquisition of preferred stock issued by a consolidated subsidiary”, a Softbank statement read.
The underwriters of the Y100bn bond were Nomura, Daiwa, SMBC Nikko, Mitsubishi UFJ Morgan Stanley, Mizuho, SBI, Okasan, Cosmo, and Tokai Tokyo Securities.
The underwriters for the Y30bn were Mizuho, Citigroup, Merrill Lynch, and Barclays Capital.
This announcement comes a few weeks after it was reported that Softbank Mobile was seeking to raise about Y1tr(US$12.4bn) in senior debt in order to refinance the remainder of a Y1.45tr (US$18bn) facility completed in 2006.
A spokesperson confirmed at the time that a refinancing would take place during their financial year 2011 but declined to comment further.
The amount outstanding on that facility was reportedly Y745.5bn (US$9bn). The company was also planning to use about Y200bn (US$2.4bn) to pay for a stock buyback from UK mobile operator Vodafone last year.
