El Corte Inglés has issued a new € 600 million senior bond and registered in ISE (Irish Stock Exchange), maturing in 2024 and with a 3,625% coupon. This is the second rated bond of the Company; it has an Investment Grade rating by Standard & Poor’s (BBB-) and ratings of Ba1 by Moody’s  and BB+ by Fitch..

The Company received a demand that exceeded 4 times the initial offer of €400 million, leading to an increment in the bond amount up to €600 million. The funds are intended to be used to increase the liquidity of the Company as well as to repay part of its debt.

PKF Attest acts as the Listing Agent of the bond. Bank of America Merrill Lynch acted as global coordinator and underwriter for the issue, with El Corte Inglés’ main banks taking part as active bookrunners and bookrunners(BBVA, Banco de Sabadell, Banco de Santander, Bankia, BNP Paribas, CaixaBank, Goldman Sachs, Commerzbank, Crédit Agricole CIB, Intesa Sanpaolo, JP Morgan, Société Générale and UniCredit Bank). Cuatrecasas and Vinson&Elkins were engaged as lawyers for El Corte Inglés, with Clifford Chance representing the banks.

Founded in 1935, El Corte Inglés has consolidated its position as one of the European leaders in the department store sector and a benchmark in Spanish distribution. At the end of 2019, the Group invoiced 15.261 million euros and obtained an EBITDA of 1.097 million euros, employing more than 90.000 people.

El Corte Inglés also has a Commercial Paper Programme with a limit of €1.200 Million listed in MARF, which allows the Company to diversify its debt, in which PKF Attest is the Registered Advisor and Coordinator of the Programme

Source: El Corte Inglés (Read the entire post here)