Tele2 AB issues a EUR 500 million bond and announces tender offer results regarding outstanding EUR notes
Stockholm - Tele2 AB (publ) (“Tele2”) has successfully issued and priced a new EUR 500 million 6.5-year bond maturing November 2029 under the €5,000,000,000 EMTN (Euro Medium Term Note) program.
The Re-offer yield of the bond was set at 3.792 percent per annum, equal to Mid-swaps + 93 basis points and a coupon of 3.75 percent. The bond was successfully placed with a broad range of institutional investors across Europe. With this transaction Tele2 successfully managed to further broaden its investor base.
The proceeds will be used to finance the tender offer and for general corporate purposes.
The bond will be listed on the Luxembourg Stock Exchange.
On 9 May 2023, Tele2 announced an invitation to holders of the EUR 500,000,000 1.125 per cent. Fixed Rate Notes due 2024 (ISIN: XS1907150350) (the “Notes”) to tender their Notes for purchase by Tele2 for cash in an aggregate principal amount of up to the Maximum Acceptance Amount, subject to the satisfaction or waiver of the New Financing Condition and the other terms and conditions described in the tender offer memorandum dated 9 May 2023 (such invitation, the “Offer”).
At the end of the Tender Offer period, Tele2 had received EUR 306,541,000 in valid tender instructions. Tele2 has decided to accept all such tenders pursuant to the Tender Offer in full without pro-ration.
A summary of the results of the Offer appears below:
|
Description of |
ISIN |
Purchase Price |
Purchase Spread |
Final Aggregate Principal Amount of Notes accepted for Purchase |
|
EUR 500,000,000 1.125 per cent. Notes due 2024 |
XS1907150350 |
EUR 976.72 per EUR 1,000 |
-20 bps |
EUR 306,541,000 in aggregate principal amount of Notes |
The Tender Offer Settlement Date in respect of those Notes accepted for purchase pursuant to the Offer is expected to be 22 May 2023. The aggregate principal amount of Notes expected to be outstanding following the settlement of the Offer will be EUR 193,459,000.
Tele2 will also pay any Accrued Interest Payment in respect of the Notes purchased pursuant to the Offer.
Notes purchased by Tele2 pursuant to the Offer will be cancelled and will not be re-issued or re-sold. Notes which have not been validly submitted and accepted for purchase pursuant to the Offer will remain outstanding.
For more information, please contact:
Fredrik Hallstan, Head of External Communications Phone: +46 761 15 38 30
Stefan Billing, Head of Investor Relations, Phone: +46 701 66 33 10