LVMH's first visit to the Singapore dollar debt market was in June 2000 with a short-term S$100 million one-year deal.
The latest offering is for five years of unrated fixed rate bonds that carry a semi-annual coupon of 4%. It marks the only unrated issue from a multinational company to be sold in the local debt market.
An official at the lead manager said the transaction was fully subscribed and had been picked up by a full range of institutional investors.
As LVMH does not have a long-term rating from any of the international agencies, comparing pricing to similar deals is not straightforward. However, the issuer does have a short-term rating of A2 from Moody's, the same as the long-term rating of Ford Motor Company, which in March this year issued S$100 million of five-year notes.
That deal, which was lead managed by HSBC, priced tighter than the LVMH deal, carrying an annual fixed rate coupon of 3.88%.
