Espirito Santo plans €200 million five-year exchangeable to yield 2.875%-3.375%, up30%-35%

Rebecca Melvin

New York, Nov. 25 - Espirito Santo Financial Group SA launched a €200 million placement of bonds exchangeable into ordinary shares of Banco Espirito Santo SA, which were talked to yield 2.875% to 3.375% with an initial conversion premium of 30% to 35%, according to a news release.

Espirito Santo also launched a buyback of its €500 million fixed-rate step-up notes due 2025, issued with 10,000 warrants, of which €181.35 million of notes and 3,627 warrants are currently outstanding.

Proceeds of the five-year Regulation S exchangeables will be used to finance the purchase the outstanding notes and warrants.

Issue and settlement of the new exchangeables is expected Dec. 32.

The exchangeables can be settled for Banco Espirito Santo shares, cash or a combination of shares and cash.

Nomura International plc, Banco Espirito Santo de Investimento SA and UBS Ltd. are acting as joint bookrunners.

The company plans to list the new bonds on the official list of the Luxembourg stock exchange for trading on the Luxembourg stock exchange's Euro MTF market.

Espirito Santo is a Portugal-based financial services company.

© 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.