Bondholders call the shots as buyout fears rise

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Dutch telecoms group KPN became the latest in a string of European corporate issuers to include change-of-control clauses in its bond indentures in March, after a wave of takeover-related losses has prompted growing numbers of investors to become wary of uncovenanted debt issues.

Change-of-control clauses typically give investors a put option at par if the bond issuer's rating goes to high-yield status as a result of a buyout or takeover. As European companies attempt large takeovers and priv

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