Deutsche Telekom has sold US$2bn in five-year and 30-year notes in the US private placement market.
Both tranches were issued by Deutsche Telekom Finance and guaranteed by the parent group.
The German incumbent said the five-year notes, due 6 March…
Deutsche Telekom has sold US$2bn in five-year and 30-year notes in the US private placement market.
Both tranches were issued by Deutsche Telekom Finance and guaranteed by the parent group.
The German incumbent said the five-year notes, due 6 March 2017, have been sold to investors at a spread of 153 basis points over five-year US Treasuries at a reoffer price of 99.437. They have a coupon of 2.25% and an effective reoffered yield to maturity of 2.37%.
The 30-year notes, due 6 March 2042, have been sold to investors at a spread of 190 basis points over 30-year US Treasuries at a reoffer price of 98.604. They have a coupon of 4.875% and an effective reoffered yield to maturity of 4.965%.
Credit Suisse, Morgan Stanley and Societe Generale were lead managers for the offering, which the company said forms part of its general corporate financing and does not affect net debt.
“The increase in financial liabilities is offset by cash inflows in the same amount,” a company spokesperson said.
Banca IMI, Commerzbank, Lloyds Securities, Mitsubishi UFJ Securities and RBS were co-lead managers.
