The BDC plans a high-yield bond offering targeting at least $400M with initial pricing discussions in the mid- to high-7% range.
FS KKR Capital is set to issue at least $400M in junk bonds as part of a high-yield offering. Initial pricing discussions suggest yields in the mid- to high-7% range, reflecting current market conditions for riskier debt.
The move follows broader trends in the high-yield bond market, where issuance has picked up amid investor demand for higher returns. Recent comparable offerings have seen yields in similar ranges, though exact terms depend on market reception and credit spreads.
No immediate market reaction was reported, but the offering could test appetite for lower-rated corporate debt in the current rate environment.