One week after unveiling
a deal to buy Artio
is refinancing its debt with a $500-million bond.
The $500-million perpetual bond, paying seven percent, was listed today on the London Stock Exchange
According to an Aberdeen spokesperson, the bond will refinance the Scottish asset manager's existing perpetual capital securities, which were issued in May 2007 raising $400 million with a 7.9 percent coupon.
Aberdeen finance director Bill Rattray
that "this piece of refinancing will cut the rate of interest we pay on our perpetual capital securities by almost 1%. The issue was oversubscribed, allowing us to increase the size from $400 to $500 million, reflecting both investors’ search for yield and their view of Aberdeen as a financially strong company."
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