Class B bond

Securities - debt - capital markets.

Class B bonds are ones that are subordinated to senior bonds.

They are paid only after senior bonds have been paid.

For this reason, they carry relatively greater investment risk.

To compensate for this greater level of risk they also provide relatively greater yields for investors.

Heathrow's debut GBP sustainability-linked bond

Heathrow [returned] to the Sterling Class B market, printing a £350m eight-year class B sustainability-linked bond with an annual coupon of 6%.

“It was our debut GBP SLB and the first SLB in the sterling market that includes all scopes of emissions, irrespective of sector,” says Samantha Boyd, Heathrow’s treasury markets and liquidity manager.

The Treasurer - Issue 3 of 2024 - page 48-49.

See also

• Bond
• Blue bond
• Capital market
• Coupon
• Debt capital market
• Emissions
• Issue
• Liquidity
• Scope 1 emissions
• Scope 2 emissions
• Scope 3 emissions
• Security
• Sustainability-linked bond (SLB)
• Yield