ASDA - comment

The new €700m 8% 2031 SSNs will increase the cash interest bill by €33m. However, the new issue also pushes out ASDA’s next significant bond maturity - the €460m 2027 SUNs. The pricing of the new deal is also closing in on the 7.5% ASDA has achieved on Sale and Leaseback deals, addressing fears that issuance costs would continue to rise.