Heathrow places CAD500 million 10 year bond

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12 May 2015

Demand from Canadian investors is high for

Heathrow's C$500 million 10 year bond

Heathrow has successfully placed a C$500 million Class A bond with a 2025 maturity and a fixed coupon of 3.25%. The latest bond takes the amount raised by Heathrow in 2015 to over £1 billion.

The bond is the third bond issued by Heathrow in the Canadian market since 2012 and extends Heathrow's presence in the market. Support from Canadian institutional investors was high, with demand towards C$1 billion. The bond priced inside guidance at 154 basis points over Government of Canada bonds. Proceeds will be used for general corporate purposes.

Andrew Efiong, Heathrow's Director of Treasury, said: "we are delighted to have issued a third bond in the Canadian market and welcome the strong support shown by Canadian investors. The appetite for Heathrow in Canada echoes the strong demand in Europe earlier this year where we issued a €750 million 15 year bond.

Heathrow is by far the largest, wholly-privately financed airport in the world and we continue to successfully raise debt globally across six currencies from our well-established debt funding platform. In the last five years alone we have raised over £10 billion of funding, which has supported the transformation of Heathrow into the best hub airport in Europe. Investors value the high quality of the business, the transparency of information and our ongoing engagement with the market. 

Given the scale and breadth of investor support globally, we are confident that with a positive recommendation from the Airports Commission, demand to invest in an expanded Heathrow will be high."

For investor enquiries please contact Anne Hurn, Investor Relations on +44 20 8745 9947

This announcement does not contain or constitute an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person in the United States or in any jurisdiction in which such offer or solicitation is unlawful. The securities referred to herein may not be offered or sold in the United States absent registration under the US Securities Act of 1933, as amended (the "Securities Act") except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. The offer and sale of the securities referred to herein has not been and will not be registered under the Securities Act. There will be no public offer of the securities in the United States.