Spanish developer Obrascón Huarte Lain (OHL) has issued a €325 million (US$352.6 million) senior notes in the Eurobond market, with maturity in 2023.
The bonds will be issued at par to the Joint Global Coordinators and Joint Bookrunners of the Issue:
The bonds will bear interest at a rate of 5.50% per annum payable semi-annually and will be listed on the London Stock Exchange's regulated market.
The company expects to use the entire proceeds of the Issue towards the partial early redemption of the outstanding €425 million notes maturing in 2018 with a 8.750% coupon, thereby achieving a significant improvement in the financial costs of 325 basic points and improving the maturity of its long-term debt. The issue is expected to be closed and paid up on 31 March 2015.
The transaction is part of OHL Group's financial policy to optimize costs and its recourse debt maturity profile in capital markets.
This is the sixth Eurobond issue launched by OHL after it joined the capital markets in 2007.
OHL is a Spanish-based multinational construction and civil engineering company. The company is involved in infrastructure and commercial property construction, as well as homebuilding and the operation of toll road and other transport concessions.