"Redbridge has enabled Nexity to accelerate its entry into the NEU CP market by promoting a strong commitment between all parties, including the dealers, investors and the market in general, at each step of the process. "

Anne-Céline Cambier
Finance Director

Assignment overview

  • Implementation of a €300 million NEU CP (Negotiable European Commercial Paper) program

Objectives 

  • Diversify sources of financing and the Nexity Group’s lender base
  • Seize market opportunities in terms of optimization of financing costs
  • Benefit from a flexible, easy-to-use financing instrument

Results

  • €300 million program
  • The €500m revolving credit facility tranche from the Group’s syndicate acts as a back-up line
  • Dealers: BRED, CACIB, CIC, SG
  • Custodian: CACEIS Corp. Trust
  • Program issuance increased significantly in several days

Methodology

  • Parallel management of three processes:
  1. Banque de France process for the approval of the NEU CP program within the initially defined schedule
  2. Consultations with banks and brokers that would be selected to take part in the program
  3. Program marketing and launch
  • BdF meeting 8/29 – signing financial documents 9/10 – signing dealer contract end of September – test issuance followed by BoF publication 9/27 – inaugural issues 10/2 and 10/11
  • Organization of “testimonial” meetings with the treasury departments of two NEU CP issuers active in the market

Redbridge’s added value

  • Support in due diligence required for project approval
  • Organization and coordination of the entire project
  • Preparation of the financial documentation and management of discussions with Banque de France (BdF)
  • Support during the consultation for the dealership role
  • Co-facilitation of meetings (agents, Banque de France)
  • Drafting of the sales credit memo for the dealers
  • Preparation of agent contracts in collaboration with the legal advisor
  • Recommendations on inaugural pricing and that of additional issuances
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