The bonds issued by retailer John Lewis has been fully subscribed in less than two weeks after its launch on March 7 and the partnership has raised the targeted £50 million successfully.
The subscription to the 5 years-maturity issue was open to John Lewis account card holders, partnership card holders and current partners in multiples of £1,000 and £10,000. The bond has a coupon of 4.5 percent, payable in cash and an additional 2 percent in John Lewis gift vouchers.
The company has stopped accepting further applications, three weeks ahead of its official closure date of April 11.
Talking of investors’ response to the issue – which was offered on a first-come-first-served basis, Charlie Mayfield, John Lewis partnership chairman said: “The reaction of our cardholders have been extremely encouraging. To have reached £50m of subscriptions in less than two weeks after launch shows that our customers and partners valued a mix of gift vouchers and cash return totalling 6.5 per cent”.