New World resources cuts guidance on bond -source

...300 million euro high-yield bond it plans to sell, a source familiar with the deal said on Friday.

The bond, due 2015, will be priced later on Friday to yield 7.375 percent, the source said, less than guidance given on Thursday of 7.5 to 7.75 percent, suggesting good demand.

Morgan Stanley, Barclays and Citigroup are managing the sale.

Demand has been strong for "junk" bonds in recent weeks as default rates have remained low and investors have remained hungry for the higher yields available on them.

On Thursday, SGL Carbon , a maker of graphite electrodes, sold a bigger-than-expected 200 million euro floating-rate note with a yield at the low end of guidance.

[LONDON/Reuters/Finance.cz]