Deutsche Lufthansa AG successfully placed another benchmark bond, the second this year, on 1 July 2009. With the issue, the Group is acquiring additional liquidity for general corporate financing purposes.
The bond has a volume of 750 million euros and a maturity of seven years. It has a fixed coupon of 6.5 per cent. It was issued at a re-offer price of 99.601 per cent, giving a yield of 6.573 per cent. This corresponds to a mid-swap spread plus 330 basis points. The issue elicited buoyant demand, especially among investors from Germany, Italy and Switzerland. All in all, the bond was oversubscribed sevenfold.
