David Bowie, a British rock star, has issued bonds that are backed by royalties from his current albums. These are a novel type of what is generally referred to as asset backed securities.
The $55 million issue of 10-year notes were bought in entirety by Prudential Insurance Co. of America. The notes, which are rated single-A-3 by Moody's Investors Service, have an interest rate of 7.9%.
What Is A Private Placement?
What Does the 7.9% Internet Represent?
What Does The Difference Between These Two Yields,
7.9% - 6.3% = 1.6%, Represent?
By Alex Tajirian
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March 24, 1997
David Bowie Bonds
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