Join our community of smart investors

Intermediate Capital issues another bond

Coupon is less generous this time
February 26, 2015

Mezzanine financing specialist Intermediate Capital (ICP) has announced plans for a further issue of retail bonds on London's Orb market. The lender, which has previously issued two retail bonds, is looking to issue bonds with a maturity of between eight and 10 years with the annual coupon expected to be in the region of 4.75-5 per cent.

The coupon on the proposed bond is considerably lower than Intermediate's previous two issues in 2011 and 2013, which offered yields of 7 per cent and 6.25 per cent, respectively, when issued, although appreciation in the quoted price of the bonds has reduced their yields to redemption considerably.