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Severn Trent Sells Year’s Best-Bid Pound Bond

  • Water company’s 12-year note was more than 8x subscribed
  • UK’s leaky pipes and sewage spills have triggered public anger

One of Britain’s largest water companies sold the year’s most successful sterling company bond, even as the industry faces public anger over leaks in the system and cases of sewage spilling into rivers.

A £400 million ($478 million) 12-year sustainability bond for Severn Trent Plc on Wednesday drummed up more than £3 billion of investor bids, according to a person familiar with the matter, who asked not to be identified because they’re not authorized to speak about it. The ratio of orders to deal size is the highest of any corporate note in the currency issued this year, according to data compiled by Bloomberg.