MF Global Plans Bond Sale With Coupon Tied to Corzine’s Role
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MF Global Holdings Ltd. plans to sell bonds with an interest rate that will rise if Chairman and Chief Executive Officer Jon Corzine receives a federal appointment from the U.S. president.
The futures broker is selling $300 million of five-year senior unsecured notes to repay a bank line and for general corporate purposes, according to a person familiar with the offering, who declined to be identified because terms aren’t set. The coupon will increase 1 percentage point if Corzine is appointed and confirmed by the U.S. Senate before July 2013, MF Global said today in a regulatory filing.