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Recent years have seen a convergence of debt and equity, with an accelerating trend to the creation of structured equity raisings.

Issuing companies choose hybrid funding to capture benefits including:

• Cost of capital
• Reduction in dilution
• Share register management through accessing new classes of equity investors
• Diversification of capital base and capital holders
• Ratings benefits
• Extension of brand franchise to the capital markets
• Risk management approach to capital

• Alignment of the shareholder base with the asset, revenue, profit, tax and customer bases
• Further cost of capital improvements that can arise from some cross-border structures