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Qantas completes $500m notes issuance
Ashurst has advised Qantas Airways Limited on its $500 million 5.25 per cent 10-year notes issuance.
Tony Zhang
Firms: Ashurst (Qantas).
Deal: Global law firm Ashurst has advised Qantas Airways Limited on its issuance of $500 million 5.25 per cent notes due 2030 under its $2.5 billion debt securities programme, and its repurchase of part of its $400 million 7.50 per cent notes due 2021.
Area: Banking and finance.
Key Players: The Ashurst team was led by partner Caroline Smart, assisted by lawyer Siak Goh and trainee Davy Hu.
Deal Significance: Ashurst said Qantas’ successful issuance of notes, which was oversubscribed, demonstrates the Australian flag carrier’s continued ability to access long-term debt capital.
This issuance of notes forms part of Qantas’ ongoing management of its debt maturity profile and strengthening of its short-term liquidity.
“We are proud to assist Qantas in this successful transaction. The positive investor reaction, volume and pricing for the offer are a welcome indication of investor confidence and demand in the Australian corporate bond market generally, and in Qantas in particular,” Ms Smart commented.
Qantas is one of few airlines with continued access to long-term, unsecured bond markets. Ashurst said access to this and other funding sources in recent months during the COVID-19 crisis reflects Qantas’ strong overall position, the importance of aviation to its home market of Australia and clear recovery plan.
