Singapore Airlines has raised US$500 million ($662.4 million) in its first US dollar bond issue, which the company will use to buy new aircraft as the global aviation industry prepares for a post-pandemic travel rebound.

The transaction was finalised early Thursday (Jan 14) and the price was set at US treasuries plus 260 basis points, according to a term sheet seen by Reuters.

The size of the 5.5 year deal was finalised after bookrunners received bids above US$1.5 billion, and the bond carries a 3% coupon rate, the term sheet shows.

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