Canary Wharf Group has offered to buy back £185m of its securitised debt from bond holders at discounts of up to 85 per cent of face value to take advantage of the prices being offered on illiquid corporate debt.

Canary Wharf Finance II, the securitisation through which £2.5bn of bonds have been issued that back much of the Canary Wharf estate, yesterday offered to repurchase bonds at substantial discounts from holders in three classes of notes.

The prices being offered vary between 15-50% of face value depending on the class, showing how far its bonds have fallen. Morgan Stanley and Lazard are managing the deal, and Deutsche Bank is acting as the tender agent.

Financial Times