Tags: Shell | Bond | Sale | offering

Shell Plans Benchmark Offering With First Bond Sale Since 2010

Tuesday, 14 August 2012 10:19 AM

Royal Dutch Shell Plc, Europe’s largest oil producer, plans to raise funds with its first bond offering in two years by selling debt of five-, 10- and 30-year maturities.

The company’s Shell International Finance unit, which last issued dollar obligations due in three decades in March 2010, will use proceeds for general corporate purposes, The Hague-based company said in a regulatory filing.

The sale will be of benchmark size, typically at least $500 million, and the bonds may be rated Aa1 by Moody’s Investors Service, its second-highest grade, according to a person familiar with the offering who asked not to be identified because terms aren’t set.

Shell’s longest outstanding maturity, its $1 billion of 5.5 percent bonds due March 2040, traded at 132 cents on the dollar to yield 3.65 percent at 8:08 a.m. in New York, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority. The company’s 5.2 percent dollar- denominated notes maturing March 2017 traded at 118.4 cents with a 1.1 percent yield Aug. 10.

Goldman Sachs Group Inc. and Morgan Stanley are managing the sale, the person said.

© Copyright 2020 Bloomberg News. All rights reserved.

1Like our page
Tuesday, 14 August 2012 10:19 AM
Newsmax Media, Inc.
Newsmax TV Live

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved