Olam re-offers CB after investors baulk at aggressive terms

The soft commodities supply chain manager is forced to increase the coupon, lower the conversion premium and re-offer the deal at 98% after the bookrunners get the pricing wrong.

Olam International late last night revised the terms on a $400 million convertible bond that it offered to the market in the mid-afternoon after investors deemed the original terms too aggressive. The revisions resulted in a higher coupon and a lower conversion premium and, on top of that, the bonds were also re-offered at 98% of par to all investors, making this the first Asian CB since 2007 to be re-offered.

However, the original structure with a seven-year maturity and...

To continue reading, please login or register for free

Print Edition

FinanceAsia Print Edition


  • 2nd Compliance Summit Southeast Asia

    17 August 2017  |  Singapore
    The 2017 Compliance Summit Southeast Asia will take an in-depth look at the key compliance considerations today with a focus on regulation and new ...