Three major bond or quasi-bond disintermediated financing instruments have particularly attracted issuers' and borrowers' interest on the French market in recent years: US private placements ("USPP"), Schuldscheindarlehen ("SSD", Schuldschein, promissory note based loan placements) and Euro private placements ("Euro PP").
All three are designed for investment-grade companies, who are typically unlisted, unsecured and subject to a Group company guarantee. Whether they are offered in a bond or loan format, these instruments are marketed as private placements to institutional investors such as banks, insurance companies and debt or private equity funds, who have a direct link with the issuer and generally have a long-term investment horizon.
LINKS
Read "A Closer Look at the EURO PP, USPP and SCHULDSCHEIN Standard, Based on Their Standard Documentation" co-authored by Dorothee Fischer-Appelt and Charles J. Kolin, published in IGTA e-Journal Winter 2024/2025. (pgs. 14-29)