HSBC Holdings has set final price guidance for a planned Japanese yen-denominated Samurai bond sale, according to an updated term sheet seen on Wednesday.
The bank set the final guidance at 75 basis points over Japanese yen mid-swaps for 2030 notes, 95 basis points for 2032 notes and 110 basis points for 2037 notes.
Here are more details:
* The bank is marketing senior unsecured callable fixed-rate bonds due in 2030, 2032 and 2037.
* The bonds will be sold at 100% of their face value. The final size of the sale, and whether all three parts are issued, will depend on investor demand.
* Initial price guidance was set at 70-75 basis points over yen mid-swaps for the 2030 notes, 90-95 basis points for the 2032 notes and 105-110 basis points for the 2037 notes.
* A Samurai bond is a yen-denominated bond issued in Japan by a foreign borrower.
* HSBC, Daiwa, Mitsubishi UFJ Morgan Stanley, Mizuho, Nomura and SMBC Nikko are arranging the sale.
* The bonds are expected to be rated A3 by Moody's and A- by S&P. Pricing is expected on Friday, with settlement scheduled for September 11.
