Breaking News

Zillow Buys Trulia for $3.5 Billion in Stock
Tweet TWEET

Goldman Almost Doubles Amount of Maples Bonds to C$600 Million

Goldman Sachs Group Inc. sold C$600 million ($541.5 million) of Canadian dollar-denominated debt in the year’s initial sale of what are known as Maple bonds.

The New York-based bank, which had initially come to market with C$350 million of notes, increased the size of its seven-year offering and priced the debt to yield 173 basis points over benchmark Canadian government bonds, according to a term sheet seen by Bloomberg News.

The coupon was 3.55 percent and the securities yielded 3.568 percent with ratings of Baa1 from Moody’s Investors Service and A- from Standard & Poor’s.

The notes’ yielded more than the 2.3 percent average effective yield in the Bank of America Merrill Lynch Single-A U.S. Banking Index, where the average maturity is 6.1 years.

It was Goldman’s first Canadian issue since January 2013, when it’s C$650 million of notes were sold with a coupon of 3.375 percent.

The Maple bond market, nicknamed for the nation’s maple-leaf flag, regained some investor acceptance after deal-making froze in 2008 following government bailouts of banks that were among the biggest issuers, reaching C$6 billion in 2012 and C$5 billion last year.

The Canadian subsidiary of Wells Fargo & Co., sold C$1.25 billion of seven year notes Jan. 23, with a coupon of 3.04 percent.

To contact the reporter on this story: Ari Altstedter in Toronto at aaltstedter@bloomberg.net

To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.