investor daily logo

Tech firm launches $40 million bond issue

By Reporter
1 minute read

FIIG Securities has arranged a $40 million bond issue for ASX-listed information technology products distributor Dicker Data.

FIIG chief executive Mark Paton told InvestorDaily's sister title SMSF Adviser the five-year subordinated floating rate notes issue comes at a time of strong appetite from SMSFs and other private investors for bonds.

“This is a great time for Australian corporates to access the bond market because there is a lot of unmet demand from investors and especially SMSFs for products offering a steady income at a higher yield than is currently available on term deposits,” Mr Paton said.

“With interest rates at record lows and forecast to fall further, many SMSFs owners are struggling to achieve an adequate income stream so they find bonds issued by quality Australian corporates very attractive.”

The bonds have a minimum initial investment of $50,000 and will be distributed to new and existing FIIG Securities clients who qualify as “sophisticated or professional investors”.