MUFG Struggles to Sell Another Portion of CNX Resources Bonds
- Bank’s effort to offload energy company’s debt has faltered
- Sold some bonds at a steep discount using Cantor in May
Photographer: Kiyoshi Ota/Bloomberg
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Mitsubishi UFJ Financial Group Inc. has cut prices on $75 million of U.S. junk bonds that it has struggled to sell as part of a soured underwriting deal. Investors don’t seem to be snapping it up.
The Japanese bank cut the price on bonds from CNX Resources Corp., an oil and gas driller, to around 89 cents on the dollar, down about 1 cent from where it sold a bigger block -- some $300 million -- in May, according to people familiar with the matter, who asked not to be identified discussing a private matter. The notes are now quoted lower in the market at around 86 cents, according to data compiled by Bloomberg.