La Française des Jeux (FDJ) has successfully placed its inaugural bond issue of €1.5 billion to refinance the acquisition of online betting and gaming operator and supplier Kindred.
The company said the success of the bond issue, which was nearly 5 times oversubscribed, reflects the level of investor confidence in the group’s strategy and credit profile.
The bonds mature in six, nine and 12 years and will be rated Baa1 by Moody’s, with the proceeds being used to refinance the majority of the €2 billion euro bridging loan set up as part of the acquisition of Kindred.
In addition to the €1.5 billion bonds, FDJ has secured a €400 million loan, amortizable over five years, which will also be used to repay the bridging loan.
FDJ completed its acquisition of Kindred in October
Shares in La Française des Jeux (EPA:FDJ) were trading 0.41 per cent higher at €39.36 per share in Paris Monday morning, less that 2 per cent of their 52-week high of €39.88 per share set on 11 November.