Wesfarmers issues $1b in Eurobonds

The news: Wesfarmers is issuing €600 million ($1.06 million) under its medium term note programme to take advantage of favourable market conditions to diversify the company’s debt. It said it will use the funding for “general corporate purposes”.

The numbers: The senior unsecured notes will mature in June 2032 and were priced overnight at a margin of 0.95% over the seven-year Euro mid swap rate. The issuance proceeds will be swapped into Australian dollars.

Settlement of the transaction is expected to occur on 10 June 2025.

The context: The bonds are being issued under Wesfarmers’ broader €3 billion euro medium term note programme. Wesfarmers chief financial officer Anthony Gianotti said the oversubscribed round received strong demand from investors in European and Asian markets.

The bonds will be listed on the Singapore Exchange and will not be offered to retail investors in Australia. The joint lead managers for the issue are Barclays, BNP Paribas, Goldman Sachs, SMBC Bank and Société Générale.