Florida Brightline’s 15% Yield Drives Home Distress

Brightline Trains Florida — the struggling private rail line connecting Orlando to Miami — is rolling over $985 million of junior debt with a lofty 14.89% yield, buying the company a few more months to boost lagging ridership and revenue.

Underscoring investor concern around the bonds, which have a mandatory tender in June 2026, the yield on the debt priced Monday is almost 13 percentage points above top-rated municipal securities maturing in a year, data compiled by Bloomberg show. Investors also will get a say on new financings by the company, among conditions they negotiated.