Corporate Bonds

Raise long-dated, fixed or floating rate debt capital

• Raise committed, long-dated (7-10 years) debt capital
• Retain cash in the business with the bond's non-amortising repayment structure
• Gain more financial and operational flexibility with less restrictive covenants
• Debt capital that can be secured or unsecured, senior or subordinated
• Appropriate for long-term core financing needs – such as an acquisition

Fixed-rate or floating rate

Corporate Bonds are an established source of debt capital that companies use to complement bank facilities and in some cases, replace them. Besides being longer-dated than a typical bank facility and having no amortisation profile, one of the key reasons companies issue bonds is because the covenants are more flexible than those on a typical bank facility. Whereas you need to keep 'maintaining' your covenants on a bank facility, this is not the case with a Corporate Bond so operational flexibility can be enhanced. Size-wise, bonds can be issued in the region of £100m (or equivalent in Euro/Dollars) upwards. The use of proceeds varies; some companies use long-dated bonds to refinance short-term bank debt or bridge loans that may have been provided, perhaps, to fund an acquisition.

Get the right advice from our bond team

Our prime objective is to make sure that your debt capital structure suits your current and evolving needs. If that means that a bond is not right for your business, that's what you'll hear from us. And if a bond could work for you, we'll take as much time as necessary to explain the options open to you, how the bond market works and the process from mandate to execution to post-execution. And in between, we'll keep you updated with developments that could have an impact on your fundraising.