Sumitomo Mitsui Financial Group Inc. (8316) sold $2 billion of dollar-denominated debt as Japan’s second- largest bank seeks to expand lending abroad.
The bank’s Sumitomo Mitsui Banking Corp. unit issued $500 million of 3 percent, 10-year bonds that yield 117 basis points more than similar-maturity Treasuries, and $750 million portions of 0.9 percent, three-year notes at a 58 basis-point spread and 1.5 percent, five-year securities at 77, according to data compiled by Bloomberg.
President Koichi Miyata said in a Dec. 19 interview that dollar-denominated debt issuance by the company’s lending unit may reach $4.5 billion this year. The bank is increasing lending overseas as deflation and economic contraction damp credit demand and loan profitability at home.
To contact the reporter on this story: Charles Mead in New York at email@example.com
To contact the editor responsible for this story: Alan Goldstein at firstname.lastname@example.org