Kraft Heinz gives early results on offer for up to $1 billion of four series

By Taylor Fox

New York, March 8 – Kraft Heinz Co. announced the early results of 100% owned subsidiary Kraft Heinz Foods Co.’s offer to purchase up to $1 billion of notes, excluding accrued interest, from four series, according to a press release.

As of the 5 p.m. ET March 5 early tender time, Kraft Heinz Foods received the following tenders, listed in order of acceptance priority and with the total consideration per $1,000 principal amount:

• $811,583,000 tendered and accepted of $1,608,705,000 outstanding 3.95% senior notes due July 2025 (Cusips: 50077LAK2, 423074AX1 and U42314AD3) for $1,115;

• $1,185,335,000 tendered and $87,836,000 accepted at a 7.5% proration factor for the $2 billion outstanding 3% senior notes due June 2026 (Cusips: 50077LAD8, 50077LAC0 and U5009LAB6) for $1,082.50;

• No amounts of the $447,302,000 outstanding 4% senior notes due June 2023 (Cusip: 50077LAS5) for $1,078.75; and

• No amounts of the $631,263,000 outstanding 3.5% senior notes due June 2022 (Cusips: 50076QAZ9, 50076QAF3 and U5009CAC4) for $1,041.25.

As the amount of notes tendered exceeded the maximum tender amount, the notes were prorated to accept the maximum amount.

No further notes will be accepted for purchase.

All of the considerations listed above include a $30.00 early tender premium for noteholders who tendered their notes by the early deadline of 5 p.m. ET on March 5, also the withdrawal date.

Interest will also be paid to the settlement date.

Early settlement is scheduled for March 9.

The tender offer technically expires at 11:59 p.m. ET on March 19, however as the cap has been reached no notes will be accepted for purchase after the early tender deadline.

Barclays (800 438-3242, 212 528-7581), Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC, HSBC Securities (USA) Inc., Mizuho Securities USA Inc., and Morgan Stanley & Co. LLC will act as dealer managers.

Global Bondholder Services Corp. is the tender agent and information agent (866 794-2200, 212 430-3774, https://www.gbsc-usa.com/kraftheinzcompany/).

The food and beverage company has headquarters in Pittsburgh and Chicago.

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