Demand for Burford’s new retail bond issue has proved to be incredibly strong. The issue was oversubscribed and raised £175m, with the offer being closed less than a week after being opened. The coupon of 5% was a significant reduction on the previous issues, in spite of the term being a year longer at 9 years. Of the yield improvement, only a third can be attributed to changes in the gilt rate, suggesting much greater market confidence and understanding in Burford’s business than at the time of the last issue. The net proceeds from the issue will be £172.8m ($225m). Of these $43.75m will be used to repay the loan note for the Gerchen Keller Capital acquisition. Given the coupon on this was 6% per annum this looks sensible.