Smiths Group is to launch a 400m dollar-denominated bond offering, saying that the funds will be used for general corporate funding purposes and to repay certain existing debt.
The notes, with a coupon of 3.625%, mature in October 2022 and the offer is expected to close on October 12th 2012. They will be guaranteed by Smiths Group International Holdings and rank as unsecured debt.
At the last set of results for the year ended July 31st, this FTSE 100 constituent had net debt of £791m and paid out £63m on that debt net of interest earned on cash deposits.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Consensus estimates for 2013 are for a pre-tax profit of £494.79m on turnover of £3.1bn. This will place the stock on a forward price-to-earnings ratio of 10.8, offering a prospective yield of 3.8%
CM
-
Trump wants to colonise Mars – will it happen?Donald Trump wants to plant the US flag on Mars. Could humans really live there?
-
Klarna postpones US IPO as Trump's tariffs rattle marketsBuy-now-pay-later lender Klarna has postponed its US initial public offering owing to the market turbulence. It is not alone, says Matthew Partridge
