BAE Systems to raise $1.25bn through bond issue

6th Oct 2011 07:34

Defence group BAE Systems is to raise in the region of $1.25bn through a private placing of bonds outside of the US.The bond issue consists of: $350m aggregate principal amount of notes paying 3.50% interest and maturing on October 11, 2016; $500m of notes paying 4.75% interest and maturing on October 11, 2021; and $400m of notes paying 5.80% interest and maturing on October 11, 2041. The net proceeds of the offering will be used for general corporate purposes, including repayment of indebtedness. The offering is expected to close on or about October 11, 2011.--jh