EDF (A+ S&P / Aa3 Moody’s / A+ Fitch) launched yesterday a bond issue in two tranches, in euros and sterling pounds.
The euro tranche, with a 15-year maturity, amounted €1 billion, with a 4.125% coupon.
The sterling pound tranche, with a 25-year-maturity, amounted £500 million, with a 5.5% coupon.
This issue is part of the active financial policy initiated by EDF with a view to lengthening the average maturity of the Group’s gross debt. This stands at 9.4 years after this issue against 9.2 years as of December 31st 2011, while maintaining unchanged the Group’s average cost of debt at 4.3%.
In addition, through this issue the Group aims at matching up its long-term debt with its French and UK’s long term business’ earnings (the Group’s main markets), while enjoying favorable market conditions. It also shows European investors’ trust in EDF’s Group.
The EDF Group, one of the leaders in the European energy market, is an integrated energy company active in all areas of the business: generation, transmission, distribution, energy supply and trading. The Group is the leading electricity producer in Europe. In France, it has mainly nuclear and hydraulic production facilities where 96.5% of the electricity output is CO2-free. EDF's transmission and distribution subsidiaries in France operate 1,285,000 km of low and medium voltage overhead and underground electricity lines and around 100,000 km of high and very high voltage networks. The Group is involved in supplying energy and services to approximately 27.9 million customers in France. The Group generated consolidated sales of € 65.3 billion in 2011, of which 43.1% was achieved outside of France. EDF is listed on the Paris Stock Exchange and is a member of the CAC 40 index.