Deutsche Telekom announced the pricing for its 4.5 billion euros bond issued by Deutsche Telekom International Finance B.V. today.
The bonds have been issued in three tranches. A four-year note of 1.25 billion euros principal amount, a seven-year note of 1.75 billion euros principal amount and a twelve-year note of 1.5 billion euros principal amount.
The four-year bonds due April 3, 2020 have been sold to investors at a spread of 35 basispoints plus 3M-Euribor.
The seven-year bonds due April 3, 2023 have been sold to investors at a spread of 45 basispoints above the seven year Mid-Swap rate. The bond will be sold at 99,093 which results in a re-offer yield of 0,757 percent.
The twelve-year bonds due April 3, 2028 have been sold to investors at a spread of 75 basispoints above the twelve year Mid-Swap rate. The bond will be sold at 99,162 which results in a re-offer yield of 1,577 percent.
The orderbook was four times oversubscribed and showed very strong investor interest. With more than 300 orders the bond was distributed to a broad investor base.
The bond will safeguard Deutsche Telekom’s liquidity reserve position and will not increase its net debt position.
The lead managers for the offering were Barclays, BNP Paribas and Unicredit. The co-lead managers were Banca Intesa, Commerzbank, DZ Bank, Helaba and LBBW.
This media information shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Deutsche Telekom
Deutsche Telekom is one of the world’s leading integrated telecommunications companies with more than 156 million mobile customers, 29 million fixed-network lines and around 18 million broadband lines (as of December 31, 2015). The Group provides fixed-network/broadband, mobile communications, Internet, and Internet-based TV products and services for consumers, and ICT solutions for business customers and corporate customers. Deutsche Telekom is present in more than 50 countries and has around 225,200 employees worldwide. The Group generated revenues of EUR 69.2 billion in the 2015 financial year – around 64 percent of it outside Germany.