Retail bonds are suitable for businesses of all sizes and across all sectors, helping them tap into a new pool of capital outside of the traditional wholesale markets. A wide range of companies issue bonds on our retail platforms, from large household names like National Grid through to midcap companies such as Workspace Group, a provider of ofﬁce space for small and medium-sized companies. With a range of maturities, various structures and issue sizes ranging from £25m to more than £300m, retail bonds offer ﬂexibility to ﬁrms looking to raise debt ﬁnance.
Issuers have two options when looking to admit retail bonds to London Stock Exchange’s markets – the Order Book for Retail Bonds and the Order Book for Fixed Income Securities. Raising capital through retail bonds has a key benefit: diversiﬁcation of funding. A typical retail issue is supported by around 100 wealth and institutional fund managers, representing the interests of several thousand individual investors. Accessing a wider investor base and raising a company’s public proﬁle are two of the further beneﬁts a retail bond issue can offer.