Banco do Brasil accepts 40.04% of 2022 notes from three-series offer

Chicago, Sept. 27 – Banco do Brasil SA, acting through its Grand Cayman branch, announced the early results of its tender offer to purchase up to $750 million of notes from three series, according to a press release on Monday.

The offer was oversubscribed, and so the bank will only be accepting some of the notes in the tender offer from the first series of notes.

Listed by acceptance priority level, the company received tenders by the early deadline for the following amounts of notes:

• $1,271,652,000 of the $1,809,700,000 outstanding 3 7/8% senior notes due 2022 (Cusip: 05958AAJ7) for a total consideration of $1,035.10 per note;

• $377,034,000 of the $750 million outstanding 4 7/8% senior notes due 2023 (Cusips: 05959LAG8, P3772WAJ1) for a total consideration of $1,059.30 per note; and

• $482,247,000 of the $750 million outstanding 4¾% senior notes due 2024 (Cusips: 059578AE4, P1R027AA2) for a total consideration of $1,073.10 per note.

The total considerations are based on $1,000-par notes and an early tender payment of $30 per note.

Acceptance of the notes from the first series will be prorated. Banco do Brasil will accept $724,567,000 of the tendered notes, representing 40.04% of the principal amount outstanding of the notes.

None of the notes will be purchased from the 2023 series of the 2024 series.

Because the offer was oversubscribed at the early deadline, no tendered notes after the early deadline will be accepted for purchase.

HSBC Securities (USA) Inc. is the purchaser.

The offers were subject to the satisfaction of the financing condition.

The early deadline was 5 p.m. ET on Sept. 24. The early deadline was also the withdrawal deadline.

The offer was technically going to expire at 11:59 p.m. ET on Oct. 6.

Early settlement is expected for Sept. 27, and final settlement had been planned for two business days after the final deadline.

The dealer managers for the offer are UBS Securities LLC (888 719-4210, 203 719-4210), BofA Securities, Inc. (888 292-0700, 646 855-8988), Banco BTG Pactual SA – Cayman Branch (212 293-4609, ol-dcm@btgpactual.com), HSBC Securities (USA) Inc. (888 HSBC-4LM, 212 525-5552, lmamericas@us.hsbc.com) and Santander Investment Securities Inc. (212 407-0930, DCMAmericas@santander.us).

The tender and information agent is D.F. King & Co., Inc. (212 269-5550, 800 676-7437, fax: 212 709-3328, bdory@dfking.com).

The government-owned bank is based in Brasilia, Brazil.

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