(Adds background, detail)
By Josie Cox
LONDON, Nov 7 (IFR) - Verizon Communications is planning tomeet European fixed income investors in November in preparationfor a bond transaction that is expected to take place in the NewYear, according to market sources.
The US telecommunications giant could be planning to takeout a US$12bn term loan put in place during the firm's buyout ofVerizon Wireless from Vodafone, one of the sources told IFR.
The company priced a record US$49bn bond in September, and,with the loan, completely refinanced its record-breaking $61bnbridge loan put in place to cover the debt portion of theacquisition of Vodafone's 45% holding in Verizon Wireless.
An overwhelming response to the US dollar deal led Verizon,rated Baa1/BBB+/A- by Moody's/S&P/Fitch, to abandon plans toprint sterling- and euro-denominated bonds.
The US dollar issue was bigger than the three previousrecord-sized deals in corporate bond market history combined,and attracted a total book of over US$101bn.
A source said that Verizon is also planning to update equityinvestors.
The euro bond market is currently an attractive arbitragefor US corporates, and several have chosen to hit Europe'sshores over the past two weeks.
On Thursday, General Mills joined the rush of US blue chipnames such as 3M, IBM, Procter & Gamble and Coca-ColaEnterprises that have sold euro transactions over the lastfortnight.
A source said that the four active underwriters on Verizon'sdollar offerings - Bank of America Merrill Lynch, Barclays, JPMorgan and Morgan Stanley - were likely to be mandated for thepossible euro and sterling tranches too. (Reporting by Josie Cox, writing by Alex Chambers; editing byJulian Baker)