FASHION
Kering launches €1.2 billion bond issue
11 May, 2020 | by Angela Beevers
Kering has launched a €1.2 billion dual-tranche bond issue after its sales were impacted by the covid-19 outbreak.
The owner of luxury brands such as Gucci, Balenciaga and Alexander McQueen said the move will enable it to diversify its sources of finance and give it more funding flexibility.
In a statement, the company added: “The great success of this issue with investors confirms the confidence of the market in the creditworthiness of the group. Kering’s long-term debt is rated “A-” with a stable outlook by Standard & Poor’s.”
The issue will consist of a €600 million tranche with a three-year maturity and a 0.25% coupon and €600 million tranche with a eight-year maturity and a 0.75% coupon.
