Virgin in $US732.6m bond issue
- {{x.value}}
{{ twilioFailed ? 'SMS Code Failed to Send…' : 'Enter verification code' }}
{{ completedStep1 ? 'Authentication & Security' : content.trialHeading.replace('{0}', user.FirstName) }}
{{ content.upgradeHeading.replace('{0}', user.FirstName) }}
The email address you entered is registered with InvestSMART
Please login to continue
We have sent you an email with the details of your registration.
Looks you are already a member. Please enter your password to proceed
{{ upgradeCTAText }}
Updating information
Please wait ...
Your membership to InvestSMART Group recently failed to renew.
Please make sure your payment details are up to date to continue your membership.
Having trouble renewing?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
You've recently updated your payment details.
It may take a few minutes to update your subscription details, during this time you will not be able to view locked content.
If you are still having trouble viewing content after 10 minutes, try logging out of your account and logging back in.
Still having trouble viewing content?
Please contact Member Services on support@investsmart.com.au or 1300 880 160
Please click on the ACTIVATE button to activate your Intelligent Investor 15-day free trial
Please click on the ACTIVATE button to finalise your membership
Unsuccessful registration
Registration for this event is available only to Eureka Report members. View our membership page for more information.
Registration for this event is available only to Intelligent Investor members. View our membership page for more information.
- You are already registered for this event.
- This event is already full.
- Please select a quantity for at least one ticket.
- {{ i }}
Forgotten password
Please enter your email address below to request a new password
- Verify your email address by clicking on the link we sent to {{user.Email}}
- You now have free access, we look forward to helping you on your financial journey.
Virgin Australia Holdings (VAH) has successfully priced $US732.6 million in bonds to international investors, with the debt backed by its fleet of 24 Boeing aircraft.
The bonds, which are called enhanced equipment notes, are to be issued across the three classes of Boeing aircraft, with a weighted average coupon rate of 5.5% over the expected life of the three classes, which is around 6.5 years.
Virgin said demand was strong for the debt issue, with its order book oversubscribed multiple times.
The airline plans on using the proceeds to repay existing financing facilities and for "general corporate purposes".
Virgin joins several other large Australian corporations, such as Transurban (TCL) and Origin (ORG), rushing to lower their interest costs by replacing more expensive debt through corporate bond issues.
Goldman Sachs was the sole structuring agent and lead bookrunner, while Credit Agricole Securities and Natixis were joint bookrunners.