AstraZeneca on Tuesday employed for the first time diversity and inclusion broker-dealers as part of its bond syndicate underwriting a US$2.25bn debt offering, according to bankers and Refinitiv data.
Bookrunners for the three-part senior unsecured offering from the a UK-headquartered corporate on Tuesday were Bank of America, HSBC, Mizuho and Santander. But among the list of co-managers were two women-owned firms: Seelaus and Tigress Financial Partners.
AstraZeneca split the A3/A rated offering into US$1.1bn five, US$650m seven and US$500m 10-year tenors. The A3/A rated notes landed at Treasuries plus 75bp, 90bp and 100bp, respectively, off around US$4.2bn of demand, according to a person familiar with the transaction.
“The transaction went well and we are excited to partner with such an incredible company,” said Tigress CEO Cynthia DiBartolo.
According to DiBartolo, the transaction was not a one-off. The pharmaceutical company was looking to identify and build a relationship with strategic diversity partners who are authentically aligned with its own D&I values, culture and commitment to equal opportunity.
“It is exciting to see the conversation around DEI in capital markets is evolving into measurable impact in European countries," said DiBartolo.
The use of D&I firms has proliferated in US debt capital markets, as issuers and banks use their funding forays to highlight their focus on diversity. So far, the practice has been rare among European and UK non-financial corporate issuers, but D&I firms hope AstraZeneca's deal will pave the way for wider adoption across the pond.
“We are so grateful for AstraZeneca’s support for diverse broker dealers and believe this groundbreaking transaction will open the door for diverse broker dealers with other UK and European corporates," said Annie Seelaus, CEO for Seelaus.
AstraZeneca's deal is one of the first UK corporates to make use of D&I firms in its syndicate, according to Refinitiv data
AstraZeneca did not immediately respond to a request for comment.