Volvo
Industryweek 10916 Volvo 1

Volvo Cars Gets Junk Rating as Bond Offer Hits the Road

May 6, 2016
Tapping the corporate bond market for the first time in its 89­ year history, Volvo will begin presentations for investors on May 9, a process known as "roadshow."

Volvo Cars (IW 1000/118) said on May 6 that it received a junk credit rating from the Standard and Poor's agency as it seeks to sell $500 million euros ($571 million) of bonds to investors.

S&P gave the company a "BB" rating, the second­highest note in the "speculative" category, but added a positive outlook.

Tapping the corporate bond market for the first time in its 89­ year history, Volvo will begin presentations for investors on May 9, a process known as "roadshow."

Truck manufacturer Volvo Group in 1999 sold Volvo Cars to Ford, which then sold the Swedish carmaker to China's Geely in 2010.

Volvo Cars this week reported a net profit of 2.07 billion kroner (US$255 million) for the first quarter on sales of 41.8 billion kroner.

The company, which makes no secret of its ambition to compete head­on with leading global high­end brands Audi, BMW, Mercedes­Benz and Jaguar, is aiming in 2016 to break last year's record 503,000 cars sold.

Copyright Agence France-Presse, 2016

Popular Sponsored Recommendations

Food and Beverage 2024 Trends and Outlook for North America

Oct. 29, 2023
Ready to hear what 200 of your peers said are the top challenges and opportunities in 2024? Don’t fall behind. Uncover actionable insights to better prepare for 2024 in this whitepaper...

Why DataOps may be the key to unlocking the full potential of digital transformation

Nov. 3, 2023
Read the 2023 market survey conducted by IndustryWeek

The Realist Guide to Sustainable Supply Chains

Sept. 28, 2023
A ‘roll up your sleeves’ guide to driving green line performance at your organization. Learn with this easy-to-understand ebook how to implement green supply chain management ...

How Digital Twin Technology is Empowering Manufacturers

Sept. 27, 2023
This FAQ delves into why this technology offers business value and considerations toward implementation.

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!