Sign up to our Editors Choice newsletter now! Click here

Together Bond raises £250m

Accessibility Menu

Menu Search

24dash - The UK's most up-to-date social housing and public sector news website

Together Bond raises £250m

TOGETHER HOUSING GROUP Logo

Published by Jason Kayley for Together Housing Group in Housing

The Together Housing Group has raised £250 million through the issue of a 30-year own-name public issue bond at a tightly priced coupon rate of 4.5% as it looks to deliver its ambitious social housing regeneration and property development plans in the North of England.

 The 35,000-home Group, consisting of six partners from across Lancashire and Yorkshire, issued the bond in the capital markets on Thursday.

 The issue was received with great enthusiasm by potential investors, and within one hour of opening, the order book stood at over £1billion.

 Based on a first day issue of £200 million, this meant the bond was five times oversubscribed. The coupon rate of 4.5% is significantly better than other recent bond issues in the social housing sector, and is testament to the financial strength of the Group.

 The Group issued the bond on the back of a highly prized AA3 rating by the ratings agency Moody’s, a proof that the business has laid down some very secure foundations in its short existence.

 Victor Flynn, Group Director of Corporate Funding, said: “The bond issue will provide us with funding to build new homes, to take advantage of new opportunities, and to grow and develop our business in many new and exciting ways.

 “Within an hour of the launch, we had over £1billion on the order book, and that helped us tighten the margins, and showed the confidence our investors have in an organisation that is still less than two years old.

 

“It shows we’re making a huge mark in the social housing sector, and the Together Bond will stand us in good stead for the future.”

Comments

Login and comment using one of your accounts...