Nissan Shunned in Bond Market After Ghosn’s Arrest, But Banks Stay Supportive
- Ethical investing trend makes its bonds a hard sell for now
- Banks will probably lend to automaker if needed, people say
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Nissan Motor Co. probably won’t tap Japan’s bond market anytime soon again without having to sharply boost yield premiums, as former chairman Carlos Ghosn’s indictment would frighten off investors, market participants say.
Traders are demanding more yield to hold its existing debt, with the premium on some securities having surged to a record since Ghosn’s arrest in November.