Lloyds announces exchange offer for HBOS’ €750 million notes due 2030

By Sarah Lizee

Olympia, Wash., March 2 – Lloyds Banking Group plc announced an exchange offer for any and all of HBOS plc’s €750 million of subordinated notes due March 18, 2030 (ISIN: XS0214965534).

The minimum issue size of the new notes, which will be issued by Lloyds Banking Group, is €300 million. The notes will carry the same coupon, maturity and optional redemption date of March 18, 2025 as the existing notes.

The exchange consideration per €1,000 of existing notes will be €1,000 of new notes plus €15.00 in cash and €44.75 in accrued interest, assuming a settlement date of March 16.

The new notes will be in bearer form in denominations of €100,000 and integral multiples of €1,000 in excess thereof, up to and including €199,000, and will initially be issued in global form.

Lloyds said the exchange offer is part of the group's continuous review and management of its outstanding capital issuance, maintaining a prudent approach to the management of the group's capital position.

The exchange offer is conditioned on receiving valid offers to exchange that would result in the offeror issuing at least €300 million of new notes.

The offer will expire at 11 a.m. ET on March 10.

Lucid Issuer Services Ltd. (+44 20 7704 0880, Arlind Bytyqi, lbg@lucid-is.com) is the exchange agent. Goldman Sachs International (+44 20 7552 6157, liabilitymanagement.eu@gs.com) and Lloyds Bank Corporate Markets plc (+44 20 7158 1719/1721, liability.management@lloydsbanking.com) are the joint dealer managers.

Lloyds is a bank and financial services group based in London.

© 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.