Kockums Mekaniska Verkstads Aktiebolag (Kockums Mechanical Works Incorporated)
List of Deals
- 1965 Kockums Mekaniska Verkstads Aktiebolag: $15,000,000 6% guaranteed dollar debentures due September 1, 1980
Kockums Mekaniska Verkstads Aktiebolag (Kockums) was founded in 1840. Commencing in 1948 with the acquisition of AB Landsverk, a leading Swedish manufacturer of earth-moving and materials-handling equipment, Kockums was engaged in a long-range program of expansion and diversification. Acquisitions included companies in the fields of forestry equipment and road-transport equipment for liquids and bulk material, as well as manufacturers of other types of machinery and equipment. By 1965 it was one of the three major Swedish shipbuilding firms and one of the world’s leading shipbuilding companies.
In September 1965 Kockums made an offering of $15 million 6 percent guaranteed dollar bonds through an international syndicate headed by Kuhn, Loeb & Co., Harriman, Ripley & Co., Lazard Freres & Co., Smith Barney & Co., and Skandanaviska Banken. The bonds were priced at 99 ¼ percent to yield 6.08 percent to maturity in 1980. They were unconditionally guaranteed as to payment of principal, interest, and sinking funds by the Swedish government. Although the proceeds of the bonds were payable in American dollars, the bonds were sold entirely outside of the United States.