JWCA advises Realogy on its upsized exchangeable bond and call spread transaction

Transaction Background

Realogy successfully raised $403mm in the equity-linked market at attractive terms (0.25% coupon and 40.0% exchange premium)

JWCA provided extensive analysis for Realogy on deal structuring and related items, such as:

Exchangeable and derivate overlay structuring and precedents
Exchangeable and call spread documentation to ensure maximum value and future efficiency/flexibility for the Company
Syndicate structure and precedent data
Shareholder messaging
Advice on pricing on the day of execution

JWCA designed and ran a call spread auction process to achieve competitive terms

JWCA provided advice, support and analysis throughout the execution process

Results

Realogy’s exchangeable issuance was very well-received by investors

Due to strong demand, base deal size was upsized from $300mm to $350mm
The transaction was multiple times oversubscribed, reflecting strong investor interest and demand in the Company’s offering
The transaction priced at the issuer friendly end of the price talk. This was the first equity-linked transaction out of the last 35 to price on the issuer friendly end

Call spread documentation and auction process produced meaningful savings for Realogy, while maximizing flexibility for the Company