Heading into the final stretch of its first foray into bond markets, WeWork was on track to sell 7-year notes at a yield between 7.75 per cent and 8 per cent, according to four investors, though that figure could change before banks close their books at 1pm.
The company, which provides shared office space, initially told investors it was planning to raise $500m, according to bond documents. But three of those investors said that the order book reached $1.5bn hours before their 1pm close, and there was a chance the deal’s size could rise to $750m.
JPMorgan led the deal, with eight other banks listed as joint book-running managers and seven other banks listed as co-managers.
WeWork’s sale came at a time when the broader high-yield market was weakening. Spreads widened nearly 20 basis points in the four days after April 18, when spreads were close to their narrowest levels since before the financial crisis, according to ICE BofAML Indices.
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