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Rating: A2/A
Amount: Eu750m
Tranche 1: Eu500m
Maturity: April 10, 2015
Issue/re-offer price: 99.456
Coupon: 5.125%
Spread at re-offer: 62bp over mid-swaps; 97.9bp over the 4.5% January 2013 Bund
Tranche 2: Eu250m (fungible with Eu500m issue launched 26/11/02)
Maturity: January 31, 2008
Issue/re-offer price: 102.837
Coupon: 4.625%
Spread at re-offer: 42bp over mid-swaps; 65.1bp over the 4.5% August 2007 Bobl 140
Launched: Thursday April 3
Joint books: HSBC, Lehman Brothers
Bookrunner's comment:
HSBC Vodafone is buying back some of its Deutschmark and dollar bonds.
Vodafone spreads have performed well and the tone in the market has been strong but there has not been a great deal of new issues. The market has turned a corner and there is bullish buying particularly in the long end of the curve.
The tap of the 2008 issue has allowed investors to switch out of the illiquid Deutschmark denominated AirTouch bonds into a more liquid benchmark. This tranche was priced flat to the bid side of the outstanding euro 2008 bonds.
It attracted about 50%...