International Personal Finance Raises EUR225M In Bond Issue

30th Jul 2010 12:00

LONDON (Dow Jones)--U.K. lender International Personal Finance PLC (IPF.LN) Friday issued its first public bond, raising EUR225 million that will be used to cut its debt. IPF, which provides small-sum doorstep loans in Eastern Europe and Mexico, said it has priced the five-year bond at a fixed coupon of 11.5%. The company has a long-term credit rating of BB+ from Fitch Ratings. The bond issue was initally planned in the first half but market conditions, particularly due to the Greek sovereign debt crisis, prevented the issue in the first six months of 2010. IPF said Friday the proceeds from the issue will be used to pay down some of its existing bank borrowings. Broadbent added that the deal strengthens IPF's overall funding structure by diversifying and extending the maturity of its debt as well as providing finance to fund growth in new and existing markets. The book-runners were Citigroup Global Markets Ltd and HSBC Bank. -By Rachael Gormley, Dow Jones Newswires; 44-20-7842-9308; [email protected] (END) Dow Jones Newswires July 30, 2010 07:00 ET (11:00 GMT)