Rain of corporate bonds at Piazza Affari with three giants of the calibre of Generali, Snam and Enel who conquered the market on Wednesday, successfully concluding their bond placements.
Generali: €2,6 billion in orders for the €650 million bond
In detail, Generali placed a new bond on Wednesday Tier 2 bond loan denominated in euros with maturity in January 2036 and intended for institutional investors, for a total amount of 650 million euros.
During the placement phase, the Lion company informs, funds have been collected orders over 2,6 billion, over 4 times the offer, received “from a highly diversified base of approximately 135 institutional investors international”. The bond offers a 4,126% coupon payable annually in arrears. The first coupon date is January 14 2027.
“Today's bond issuance is fully consistent with our proactive approach to managing our debt profile,” commented Cristiano Borean, CFO of Generali"This transaction also helps us effectively manage our upcoming bond maturities in 2027 and further extends the average maturity of our debt. The successful placement further confirms the Group's solid financial position and the institutional investor community's confidence in our strategic plan 'Lifetime Partner 27: Driving Excellence'."
Snam: The bond convertible into Italgas shares is a success.
Investors' eyes were all on yesterday Snam and Italgas, with the second one closing yesterday on the Ftse Mib with a rise of more than 5%. The reason lies in the move of the group led by Agostino Scornajenchi who yesterday successfully placed the 500 million green bond expiring in 2031 and convertible into Italgas shares. The company also announced that it has received expressions of interest in repurchasing 98,9% of its outstanding bonds maturing in 2028, which are convertible into Italgas shares.
“This transaction allows Snam to maintain the full benefit deriving from its presence in Italgas, in light of the positive reception by the market of the update of the latter's industrial plan, while managing the early conversion of the existing exchangeable at more favourable conditions”, commented the Snam's financial director, Luca Passa. “With this particular structure – he added – we have limited the potential dilution of our presence in Italgas, improving financial flexibility and expanding the investor base. At the same time, the green format, fully aligned with our sustainable finance framework, confirms Snam's commitment to contributing to the country's energy integration process.
The new bonds will be issued at a nominal value of 100 thousand euros and will pay a cfixed annual rate of 1,75%The bonds will be repaid at maturity at their nominal value, with the option for Snam to repay in Italgas shares and, if necessary, an additional amount in cash. buyback of outstanding bonds, The buyback price for every €100 of capital will be €176.750 "before any adjustment in line with the change in share price during the averaging period," between January 7 and 9. Snam also specifies that it intends to repay all outstanding bonds, having received expressions of interest in repurchasing more than 85% of the securities.
Enel: €2 billion in perpetual hybrid bonds, orders over seven times over
And finally Enel which yesterday launched new products on the European market hybrid, perpetual subordinated bond loans, non-convertible, denominated in euros and intended for institutional investors, for a total amount equal to 2 billion euros.
The issue was oversubscribed more than 7 times, totalling orders for an amount equal to approximately 14 billion at peak demand.
The operation, Enel underlines, takes advantage of the favourable window offered by the current market conditions and allows refinance the two bond issues early perpetual hybrid bonds, with a call date in 2026, for a total of approximately 1,35 billion euros, as well as increasing the amount of the Enel Group's hybrid bonds by approximately 650 million to further strengthen the capital structure.
From a technical point of view, the new issue is structured in two series:
- 1,25 billion bond loan non-convertible subordinated hybrid perpetual bond, without fixed maturity, payable only in the event of dissolution or liquidation of the company with a fixed annual coupon of 4,125%;
- 750 million bond loan Non-convertible subordinated hybrid perpetual note, without fixed maturity, payable only in the event of dissolution or liquidation of the company, as specified in the related terms and conditions, with a fixed annual coupon of 4,500%. The expected settlement date is January 14, 2026.
