Seven & i Holdings has set terms for ¥110bn of unsecured bonds in three tranches, with coupons rising from 2.435% on the shortest to 3.568% on the longest. The company decided on the issue on 23 October, under a board resolution of 8 October.
The terms
The No. 20 bond is ¥40bn over three years, the No. 21 is ¥50bn over five years and the No. 22 is ¥20bn over ten years. Each is issued at par, with interest paid every 29 April and 29 October.
| Bond | Amount | Tenor | Coupon | Maturity |
|---|---|---|---|---|
| No. 20 | ¥40bn | 3 years | 2.435% | 29 Oct 2029 |
| No. 21 | ¥50bn | 5 years | 2.848% | 29 Oct 2031 |
| No. 22 | ¥20bn | 10 years | 3.568% | 29 Oct 2036 |
The offering period is 23 October and payment is due on 29 October. All three bonds are unsecured and unguaranteed, with a negative pledge clause. Rating and Investment Information assigns AA- and Japan Credit Rating Agency assigns AA. Nomura Securities, SMBC Nikko Securities, Mitsubishi UFJ Morgan Stanley Securities and Mizuho Securities underwrite on a firm-commitment basis.
Where the money goes
The shelf registration supplement puts estimated net proceeds at ¥109.67bn after roughly ¥329mn of issuance costs. Of that, ¥60bn is planned to repay the No. 16 unsecured bond due on 2 November 2026. The remainder is planned for loan repayment and working capital by the end of February 2027.
The sale draws on a ¥600bn shelf registration with an issuance window ending on 6 December 2026. The 8 October board resolution authorised up to ¥120bn of domestic bonds, with the chief financial officer deciding the terms. It capped coupons at the yield on government bonds of similar remaining life plus 1.0%.
These are issue coupons, not secondary-market yields, and the notice gives no spread to government bonds. Settlement is scheduled for 29 October and has not yet taken place.