Anglo American takes in tenders for $716 million 3 5/8%, 4.45% notes

By Susanna Moon

Chicago, Sept. 13 – Anglo American Capital plc said it will accept tenders for $715,574,000 of its $850 million of 3 5/8% senior securities due May 14, 2020 and $500 million 4.45% senior securities due Sept. 27, 2020 guaranteed by Anglo American plc.

Specifically, Anglo American will accept for purchase $497.48 million of 3 5/8% notes and $218,094,000 of the 4.45% notes, according to a company notice on Wednesday.

The purchase price for $1,000 principal amount will be $1,035.05 for the 3 5/8% notes and $1,062.31 for the 4.45% notes.

Pricing was set at 2 p.m. ET on Sept. 12 using the 1.5% U.S. Treasury notes due Aug. 15, 2020 plus a spread of 80 basis points for the 3 5/8% notes and 85 bps for the 4.45% notes for a reference yield of 1.461% for each series.

Holders also will receive accrued interest.

The company said it also received notices of guaranteed delivery for $490,000 of the notes due May 2020 and $500,000 of the notes due September 2020, which are not yet included in the final results.

The tender ended at 5 p.m. ET on Sept. 12, with a guaranteed delivery date of 5 p.m. ET on Sept. 14 and settlement expected to occur on Sept. 15.

The joint dealer managers are Barclays (800 438-3242, 212 528-7581, +44 20 3134 8515 or liability.management@barclays.com), BNP Paribas (888 210-4358, 212 841-3059, +44 20 7595 8668 or liability.management@bnpparibas.com), Mizuho Securities USA LLC (866 271-7403, 212 205-7736, +44 20 7090 6442 or LiabilityManagement@us.mizuho-sc.com) and RBC Capital Markets, LLC (877 381-2099, 212 618-7822, +44 20 7029 7063 or liability.management@rbccm.com).

The information and tender agent is D.F. King & Co., Inc. (212 269-5550, 877 783-5524, fax 212 709-3328, anglo@dfking.com or dfking.com/angloamerican).

The company resumed the tender for the notes on Sept. 6 after having cut the offer short earlier this year due to lack of funding.

The company said on March 31 that it had terminated its U.S. tender offer for two series of its notes that had been set to end on April 17 after failing to meet the new issue condition by then.

The offer was announced on March 10, along with a non-U.S. tender offer for six series of notes that was not covered in the notice announcing the termination of the U.S. offer.

The company had planned to issue dollar- and/or euro-denominated notes of benchmark size, with the tender offers contingent on closing of the new issue.

Anglo American is a subsidiary of London-based mining company Anglo American plc.

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