HSBC to manage IWG US Finance LLC’s EUR 300m bond stabilization

Published 07/05/2025, 08:56
© Reuters.

LONDON - HSBC Bank plc has announced its role as the Stabilisation Coordinator for IWG US Finance LLC’s new fixed-rate bond offering, which is set to commence today. The offering involves an aggregate nominal amount of EUR 300 million in securities, with a seven-year term. The offer price is yet to be confirmed.

The stabilization period, as stated by HSBC, is expected to begin today, Wednesday, and is anticipated to continue until no later than June 7, 2025. During this time, HSBC, acting as the Stabilisation Manager, may engage in transactions to support the market price of the securities. These efforts aim to maintain prices at a level higher than what might otherwise prevail in the open market.

An over-allotment facility is in place, which allows for the issuance of additional securities up to 5% of the aggregate nominal amount. This facility serves as a common practice to manage potential price volatility after the new securities are issued. The stabilization, if executed, will occur over the counter (OTC) and will comply with all applicable laws and rules.

The announcement clarifies that this information is purely for informational purposes and should not be considered an invitation or offer to underwrite, subscribe for, or acquire securities in any jurisdiction. It is also noted that the securities have not been registered under the United States Securities Act of 1933 and, consequently, may not be offered or sold in the United States absent registration or an exemption from such registration requirements. There will be no public offering of these securities in the United States.

The communication of this announcement and the offer of securities are specifically directed at qualified investors within the European Economic Area (EEA) in line with the Prospectus Regulation, as well as at professional investors and high net worth individuals in the United Kingdom (TADAWUL:4280) as per the Financial Services and Markets Act 2000.

This stabilization move is based on a press release statement and reflects HSBC’s commitment to ensuring market stability and investor confidence in the newly issued bonds by IWG US Finance LLC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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