Google parent Alphabet has set initial price guidance for its inaugural bond sales in Hong Kong and Singapore dollars, according to a term sheet seen by Reuters on Thursday. Here’s more details:
The initial pricing guidance for the Hong Kong dollar was set at 4.60% (for the 2028 notes), 5.00% (for the 2031 notes), and similarly 5.50% _for the 2036 notes.)
Moreover, the starting rates for the Singapore dollar tranche have been set at 2.75% (for the 2028 notes,) 3.25% (for the 2031 notes,) 3.65% (for the 2036 notes,) and 4.00% (for the 2056 notes.)
An earlier report by Reuters also revealed reported that Alphabet was ‘looking to launch its first bond sales in Hong Kong and Singapore dollars’.
Moreover, one of the people with knowledge on the subject said the sales would likely raise ‘at least $2.2 billion’, with Alphabet considering minimum sizes of HK$8 billion ($1.02 billion) for the Hong Kong dollar portion and S$1.5 billion ($1.17 billion) for the Singapore dollar portion.
Its also pertient to mention that HSBC and JPMorgan are the joint global coordinators for both the Hong Kong dollar and Singapore dollar sales.
Particularly for the Hong Kong dollar bonds, Bank of China (Hong Kong), ICBC, and Standard Chartered are ‘arranging’ the sale. DBS, OCBC, and United Overseas Bank will arrange the Singapore dollar bond sale.
The bonds are expected to be rated “Aa2” by Moody’s and “AA+” by S&P, with settlement scheduled for November 19.
