British engineer Invensys will add 65 million euros to its outstanding senior notes due 2011 on Monday in order to help fund a buyback of some of its shorter term debt, a banker familiar with the sale said. The bond pays a coupon of 9.875 percent and the tap will be priced at between 108.5 and 109 percent of face value, the banker said, adding that would give a yield of between 7.83 and 7.71 percent.
Invensys earlier announced an offer to buy the remainder of its 5.5 percent notes due 2005 and its 7.125 percent notes due 2007 - a total of around $157 million of paper.
Books for the deal close on Monday afternoon London time, and pricing is expected later in the day. Deutsche Bank are managing the transaction.