Investors are campaigning for private companies to make their financial information more available in a push for greater transparency in Europe's growing high-yield bond market.
The Association for Financial Markets in Europe sent a list of companies to bond arrangers on behalf of a group of investors in an effort to spur debate about corporate disclosure, said Gary Simmons, director of AFME's high-yield division. The document names more than 75 borrowers they deem too protective of their data, with the aim of establishing standardized reporting, according to four people familiar with the matter.
The companies control access to their information by keeping their earnings behind password protection, requiring registration or only emailing their data to stakeholders, said the people, who asked not to be identified because discussions are private. Demand for better disclosure is intensifying as firms raise money more frequently in the junk bond market, with issuance swelling to a record 72 billion euros last year.
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