2nd Dec 2019 18:17
(Alliance News) - Ocado Group PLC has increased the size of its bond offering, it said late Monday, after receiving "strong" investor demand.
Earlier Monday, the online supermarket had announced the offering of GBP500 million of guaranteed senior unsecured convertible bonds, but this has now been increased to GBP600 million.
The proceeds of the bonds, due in 2025, will be used to invest in the company's Ocado Solutions business, which provides services and technology to other online grocers.
The bonds have a coupon of 0.875% per year, and will be convertible at a price of 1,793 pence per share, a 45% premium to Ocado's volume-weighted average price between the market open and the pricing of the bonds on Monday.
Hatfield-based Ocado's shares closed 5.3% lower on Monday in London at a price of 1,255.00p each.
By George Collard; [email protected]
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