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CREDIT SUPPLY: Silfin (SCRSBE NR/BBB-/NR): New Issue FV

CREDIT SUPPLY
  • IPT: Silfin NV EU500m WNG 6Y MS+275 Area.
  • Optically wide for a BBB- stable. 
  • The issuer has the SCRSBE 2.875 04/27 outstanding which trades ~15bp through the PAPREC curve albeit with a volatile RV history.
  • We see FV at MS+215a with 60bp for 2.6 years duration extension.
  • Having looked at the roadshow we see no major issues with the credit to justify the spread for the rating. This is not a well-known issuer and mining brings ESG issues for many investors. It is something of a niche commodity company with exposure to cyclical end markets.
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  • IPT: Silfin NV EU500m WNG 6Y MS+275 Area.
  • Optically wide for a BBB- stable. 
  • The issuer has the SCRSBE 2.875 04/27 outstanding which trades ~15bp through the PAPREC curve albeit with a volatile RV history.
  • We see FV at MS+215a with 60bp for 2.6 years duration extension.
  • Having looked at the roadshow we see no major issues with the credit to justify the spread for the rating. This is not a well-known issuer and mining brings ESG issues for many investors. It is something of a niche commodity company with exposure to cyclical end markets.