Corporate America Is Rushing to Sell Hybrid Bonds in Europe (2)

The surge in hybrid bond supply by US corporates is entering a new phase as firms have now started offering this junior type of debt to Europe.

Verizon Communications Inc. priced a €2.25 billion ($2.6 billion) subordinated note due 2056 on Tuesday, one of the largest-ever euro hybrid tranches, and a separate £1 billion ($1.3 billion) bond, according to a person familiar with the matter. Both are redeemable as early as 2031. NextEra Energy Inc.has mandated banks for a debut dual-tranche euro-denominated hybrid of its own.

The offerings mark US firms’ expansion into Europe, a long-standing and well-established market ...