Kia puts deal on hold, Hang Seng prices
A temperamental market beat down yet another transaction yesterday, with Kia Motors pulling its $300 million transaction. Meanwhile, Hang Seng managed to price its deal thanks to a defensive instrument and a strong credit rating.
Kia Motor's $300 million five-year transaction fell victim to a market that has been rocked by movements resulting from the US subprime mortgage meltdown.
The company, one of KoreaÆs top car manufacturers and rated Baa3BBB, announced the offering earlier this week. The deal was due to price Thursday under a guidance of 90bp over Libor.
But even at a more generous price the deal was termed slightly ambitious by one investor, this trade could not have gone...
To continue reading, please login or register for free