Healthy demand spurred Grand Metropolitan investment Corp. to increase its three-part offering to $800 million from $750 million Friday.

"We did an $800 million deal in a week when we had $7 or $8 billion of corporate paper" issued, a source at lead manager Goldman, Sachs & Co. said. All three tranches came within price talk, the source said.

Though demand slightly exceeded $800 million, Grand Metropolitan capped it there because the company wanted to make sure the offering trades well, the source added.

The first tranche consisted of $300 million of 6.5% guaranteed notes due 1999 at par. The noncallable notes were priced to yield 64 basis points over comparable Treasuries.

The second consisted of $200 million of 7.125% guaranteed notes due 2004 at par. The noncallable notes were priced to yield 79 basis points over 10-year Treasuries.

The third tranche consisted of $300 million of 8% guaranteed debentures due 2022. The noncallable debentures were priced at 99.50 to yield 8.044% or 77 basis points over comparable Treasuries.

Moody's Investors Service rates the offering A2, while Standard & Poor's Corp. rates it A. Morgan Stanley & Co. served as co-manager.

Including Grand Metropolitan's deal, approximately $1.5 billion of fresh debt arrived Friday. Through last Thursday, Securities Data Co. lists 44 new deals totaling $7.9 billion.

The Newark, N.J.-based firm shows 15 deals priced on Tuesday totaling $2.6 billion, 16 on Wednesday totaling $3.5 billion, and 13 on Thursday totaling $1.7 billion.

Securities Data's total through Thursday combined with Friday's deals would bring last week's total to about $9.4 billion.

Elsewhere, the News Corporation Ltd. Friday filed a registration statement with the Securities and Exchange Commission for a $1 billion senior debt offering, a spokeswoman for the company said.

The company also filed for a global equity offering of 40 million ordinary shares including 18 million ordinary shares represented by American depositary shares to be offered in the United States and Canada.

News Corp. plans to use all proceeds to repay bank debt.

The senior debt offering will consist of $200 million of senior debentures due Oct. 15, 1999; $600 million of senior debentures due Oct. 15, 2004; and $200 million of senior debentures due Oct. 15, 2012.

News America Holdings Inc., a News Corp. subsidiary, will guarantee it. Underwriters for the debt deal are Merrill Lynch & Co.; Allen & Company Inc.; Donaldson, Lufkin & Jenrette Securities Corp.; and J.P. Morgan Securities Inc.

In secondary activity Friday, high-grades lost 1/8 to 1/4 in some spots in light activity. The market is holding up "reasonably well" despite heavy new issue volume, one source said. High-yield issues finished largely unchanged.

New Issues

Coastal Corp. issued $250 million of 8.125% notes due 2002. The noncallable notes were priced at 99.626 to yield 8.18% or 184 basis points over comparable Treasuries. Moody's rates the offering Baa3, while Standard & Poor's rates it BB-plus. Lehman Brothers lead-managed the offering.

Federal Home Loan Banks issued a two-part offering totaling $215 million. The first part consisted of $138 million of 4.37% notes due 1995 at par. The noncallable notes were priced to yield four basis points over comparable Treasuries.

The second part consisted of $77 million of 5.37% notes due 1977 at par. The noncallable notes were priced to yield seven basis points over comparable Treasuries. Lehman Brothers sole-managed the offering.

Federal Home Loan Banks issued $130 million of 5.53% notes due 1997 at par. Noncallable for a year, the notes were priced to yield 23 basis points over comparable Treasuries. Morgan Stanley lead-managed the offering.

Federal Home Loan Banks issued $116.5 million of 4.47% notes due 1995 at par. Noncallable for a year, the notes were priced to yield 13 basis points over comparable Treasuries. Goldman Sachs sole-managed the offering.

Federal Home Loan Banks issued $25 million of 6.175% medium-term notes due 1999 at par. Noncallable for three years, the notes were priced to yield 32 basis points over comparable Treasuries. Goldman Sachs sole-managed the offering.

Friday's Ratings

Moody's gave an Aa2 rating to the Canadian province of Ontario's U.S. dollar global bond offering, expected to total at least $1.5 billion.

The offering marks the province's second direct global bond offering. If it totals $1.5 billion, Ontario will have a $2 billion left on the U.S. shelf it filed in June, the agency said.

Duff & Phelps Credit Rating Co. has upgraded Bankers Trust New York Corp's credit ratings and those of its principal subsidiary, Bankers Trust Co.

The agency raised Bankers Trust New York Corp.'s long-term senior debt rating to AA-minus from A-plus, the company's subordinated debt to A-plus from A, and its preferred stock to A from A-minus, Duff & Phelps affirmed the company's commercial paper rating at Duff1-plus. It raised the long-term deposit/note rating for Bankers Trust Co. to AA from AA-minus and affirmed the short-term deposit rating at Duff1-plus.

"The rating upgrades reflect the corporation's above average profitability, high risk-adjusted capital ratios, large loan loss reserves, and strong liquidity," a Duff & Phelps release says. "Further, while asset quality has deteriorated during this period of economic weakness and real estate market instability, we do not expect additional significant deterioration within the loan portfolio."

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