Linde has successfully priced through Linde Finance B.V. a EUR 1.05bn equivalent 2-tranche Hybrid Bond Offering
The STG 250mn tranche was priced at gilts plus 345bps, achieving a coupon of 8.125 per cent and the EUR 700mn tranche was priced at mid-swaps plus 312.5bps, achieving a coupon of 7.375 per cent.
Proceeds will be used to finance the bridge facility implemented for the intended acquisition of all shares of The BOC Group plc, Windlesham/UK.
The successful transaction was significantly oversubscribed. In a volatile market environment the issue was priced at the tight end of the revised price guidance.
The Capital Securities offering will receive \\$quot;˜Intermediate\\$quot; treatment by Standard & Poor's (50% equity credit) and after the closing of the intended acquisition of The BOC Group plc 'Basket C' treatment by Moody's (50% equity credit) and will be rated Baa2/BBB- (provisional) by Moody's and Standard & Poor's respectively (2 notches below the senior rating of Linde).
Barclays Capital, Citigroup, Dresdner Kleinwort and UBS Investment Bank acted as joint-bookrunners on the transaction.