Daiwa House issues JPY 35bn hybrid subordinated bonds

Daiwa House Industry announced the issuance of JPY 35 billion in hybrid subordinated bonds with deferrable interest and prior redemption provisions. The bonds will carry an initial interest rate of 1.902% and are scheduled for payment on April 30, 2025. The redemption date is set for October 30, 2060, with the option for Daiwa House to redeem the bonds at its discretion starting October 30, 2030. Interest payments are scheduled semi-annually. The bonds are rated A by R&I and A+ by JCR, and are subordinated to the company’s general obligations but senior to common stock. Mitsubishi UFJ Morgan Stanley Securities, Nomura Securities, SMBC Nikko Securities, Daiwa Securities, and Mizuho Securities will act as joint lead managers for the public offering within Japan.