Mondelez begins tender offer for £350 million 7.25% notes due 2018

By Susanna Moon

Chicago, Nov. 17 – Mondelez International, Inc. said it began a tender offer for its £350 million 7.25% notes due July 2018.

The tender offer will run until 11 a.m. ET on Nov. 24, with settlement set for Nov. 30.

Pricing for the offer will be set at 9 a.m. ET on Nov. 25 using the purchase yield of the 1.25% U.K. Treasury gilt due 2018 plus 85 basis points.

The purchase price is intended to reflect a yield to maturity of the notes on the settlement date equal to the purchase yield.

The company also will pay accrued interest.

The purpose of the offer is to optimize the issuer’s debt maturity profile, to refinance debt maturities and to take advantage of favorable market conditions, according to a company press release.

The issuer said it plans to offer new notes before the settlement date, and the offer is conditioned on the company raising enough proceeds to fund the offer.

Tender instructions must be submitted for a nominal amount of notes of at least £50,000 and in integrals of £1,000 after that.

The tender agent via e-mail at exchange.gats@citi.com and on the issuer's website.

Barclays Bank plc (+44 0 20 3134 8515 or eu.lm@barclays.com), Goldman Sachs International (+44 0 20 7774 9862 or liabilitymanagement.eu@gs.com) and HSBC Bank plc are the dealer managers. Citibank NA, London Branch (+44 20 7508 3867 or exchange.gats@citi.com) is the tender agent.

Mondelez, formerly Kraft Foods Inc., is a snack company based in Deerfield, Ill.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.