Heimstaden Bostad - comment

Ring the bell, the historic stress in the real estate credit market is behind us.  Or at least that is what it appears to be, with Heimstaden Bostad tendering at par its first Hybrid.  We are slightly surprised as we had expected Heimstaden to obtain some discount in the process.  However, with the bonds having rallied into the 90’s in October, the scope for discount had evaporated.  

Simultaneously. a new €500m 5.25yr Hybrid will be launched today.