PSA Corp sails through domestic and international debt debuts

PSA Corp's debut $500 million international bond issue on Tuesday and S$600 million ($347 million) domestic bond deal on Friday mark the first debt financings by the AAA-/Aa1-rated port operator, as it seeks to restructure its balance sheet and ensure a more even capital mix before its flotation later in the fourth quarter. Following what  the market is expecting to be a series of rapid-fire issues off the group's $2 billion medium-term note (MTN) programme, gearing should be built up from zero to 30% and shareholders' equity substantially reduced as deal proceeds are given back to the government in the form of a special dividend.