EDF Raises $3.75bn on US Bonds Market

French power giant EDF said September 19 it has raised $3.75bn on the US bonds market, saying this would "further strengthen the structure of its balance sheet, as well as refinance upcoming maturities."

The 83.7% state-owned company has a large but delayed nuclear power plant-building programme in Finland, France, the UK and China but is under pressure to retire such older assets in France. It also has a significant gas and LNG business, focused on its Italian subsidiary Edison, and was the first in Europe to sign a firm contract for Mozambican LNG. Its trading business has forged links to the world's largest LNG buyer, Japan's Jera. EDF also has a number of hydropower and renewable power generation, and power transmission, assets in several countries. 

EDF said the $3.75bn senior bond issue has three tranches, with maturity ranging from 10 to 30 years, and marks its return to the US dollar '144A/RegS' bond market.

The three bond tranches are: $1.8bn with a 10-year maturity and a 4.5% fixed coupon; $650mn with a 20-year maturity and 4.875% fixed coupon; and $1.3bn with 30-year maturity and 5% fixed coupon.