Standard Life taps Canadian debt market
Insurance giant Standard Life said it had taken advantage of favourable markets to issue a substantial amount of debt in Canada.
Insurance giant Standard Life said it had taken advantage of favourable markets to issue a substantial amount of debt in Canada.
Standard Life Canada announced its first Canadian dollar debt issuance raising C$400m - around £254m - at a rate of 3.938% for five years.
The firm said the initiative had 'optimised' the financial structure of the group and built on past actions to re-shape its balance sheet.
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
"It helps to re-leverage the Group and, through our ability to access the debt markets in Canada, provides capital at a very attractive cost," the statement said.
"The strong market demand, which was evidenced by a heavily over subscribed order book, has enabled Standard Life Canada to price competitively at the low end of its target range, thereby underlining the attractiveness of Standard Life Canada's credit, the strength of its recent performance and its future strategic direction."
In its first half results, the insurer posted a 30% drop in profits in Canada, which it put down to the timing of business restructuring and low interest rates.
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
UK-US trade deal announced: US cuts tariffs on UK car imports to 10%
Keir Starmer and Donald Trump have announced a UK-US trade deal, but the US president has refused to lift baseline tariffs on most UK goods. What does it mean for the UK?
-
How to use mid-caps to diversify from the US
Medium sized companies are overlooked by investors but could offer an attractive ‘sweet spot’. We consider the case for mid-caps amid market volatility.