EDC plans EUR benchmark bond, JP Morgan to stabilize

Published 01/14/2025, 04:02 AM

LONDON - Export Development Canada (EDC) has announced its intention to issue a benchmark-sized, five-year Euro-denominated fixed-rate note due January 21, 2030, with the exact offer price to be confirmed. The securities will be listed on the Luxembourg Stock Exchange's Euro MTF Market. J.P. Morgan Securities PLC has been appointed as the Stabilisation Coordinator and, along with other banks, may engage in stabilization activities starting today.

Stabilization efforts, which are aimed at supporting the market price of the securities post-issuance, are expected to continue until no later than February 14, 2025. The stabilizing managers have the option to over-allot the securities by up to 5% of the aggregate nominal amount. However, there is no assurance that stabilization will occur, and if initiated, it can be halted at any time.

The stabilization mechanism is a common practice in securities offerings, particularly in the context of initial public offerings and bond issuances. It is designed to provide liquidity and support the market price of the securities to prevent excessive volatility in the period immediately following the issuance.

The announcement specifies that the offer and the stabilization activities are addressed to individuals or entities outside the United Kingdom (TADAWUL:4280), or to those within the UK who have professional experience in investment matters or are high net worth entities as described in the Financial Services and Markets Act 2000.

This notice is for informational purposes only and does not represent an offer to underwrite, subscribe for, or acquire securities in any jurisdiction. The announcement is based on a press release statement and is intended to inform potential investors and the market about the upcoming securities offer and the potential stabilization activities to be undertaken by J.P. Morgan SE and other banks.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.