Snam returns to the market with a new bond later the success collected from previous issues. This morning the pipeline spa driven by Carlo Malacarne, assisted by a pool of banks, placed 1,5 billion euro of bonds in two tranches of 750 million euro each (maturity November 2015 and February 2020), collecting orders for 8 billion euro.
The guidance has been set in the area of 150 basis points on the midswap for the short tranche (compared to the initial indication in the 165 bp area) and 220 basis points on the midswap for the long tranche from the initial 235 bp area. The final pricing is expected within the day. The bookrunners of the transaction are Bnp Paribas, Citi, Jp Morgan, Mediobanca, SocGen and Ubs, supported by UniCredit, IMI, Bank of America, Merril Lynch and HSBC.
Based on the plan approved by the board of directors at the beginning of June – which envisaged the issue of bonds of up to 8 billion euro by 4 June 2013 – Snam would still have another two billion euro in the pipeline to place on the market. With today's issue, however, the gas pipeline spa, now under the control of CDP after the spin-off from ENI, has in fact ensured coverage of the 6 billion bridge loan ("bridge to bond") guaranteed by the banks to repay the intercompany debt with the six-legged dog.
