Credit Agricole gets tenders for $782.9 million, €371.2 million notes

By Angela McDaniels

Tacoma, Wash., May 22 – Credit Agricole SA released the results of its any-and-all tender offer for two series of perpetual notes and determined the maximum tender amount for its waterfall tender offer for four series of perpetual notes.

The any-and-all offer ended at 5 p.m. ET on May 19. Holders tendered $782,927,000 principal amount of the bank’s $889,928,000 6.637% undated deeply subordinated notes and €120,456,000 principal amount of its €371,232,000 CMS floater undated deeply subordinated notes.

The purchase price is $950 for each $1,000 principal amount of 6.637% notes and €780 per €1,000 principal amount of CMS notes.

Holders will also receive accrued interest up to but excluding the settlement date, May 24.

In the waterfall offer, the bank is offering to purchase up to €679,211,262 principal amount of notes. This amount is equal to €1.5 billion less the amount of notes purchased in the any-and-all offer.

The waterfall offer will continue until 11:59 p.m. ET on June 13.

Listed in order of priority acceptance levels, the following notes are eligible for the waterfall offer:

• £171.85 million of 7.589% undated deeply subordinated notes;

• £291.05 million of 8.125% undated deeply subordinated notes;

• $1 billion of 8.375% undated deeply subordinated notes; and

• €450 million of 7.875% undated deeply subordinated notes.

Pricing will be set at 9 a.m. ET on May 31 using a reference security plus a fixed yield.

For the 7.589% notes, pricing will be set using the 4.75% U.K. Treasury due March 7, 2020 plus 300 basis points.

For the 8.125% notes, pricing will be set using the 3.75% U.K. Treasury due Sept. 7, 2019 plus 235 bps.

For the 8.375% notes, pricing will be set using the 1.25% U.S. Treasury due April 30, 2019 plus 200 bps.

For the 7.875% notes, pricing will be set using the interpolated mid-swap rate plus 100 bps.

Each total purchase price will include an early tender premium of 3% of par for notes tendered by 8 a.m. ET on May 30, the early participation date.

The bank also will pay accrued interest up to but excluding the settlement date, which will be June 2 for early tendered notes and June 16 for any remaining tenders.

The bank said the tender offers will allow it “to optimize its capital base and debt management while offering liquidity to investors.”

The structuring bank and dealer manager is Credit Agricole Corporate and Investment Bank (+44 207 214 5733, 212 261-7802, 866 807-6030 or liability.management@ca-cib.com).

The tender agents and information agents are Global Bondholder Services Corp. (212 430-3774, 866 794-2200 or fax 212 430-3775/3779) and Caceis Corporate Trust SA (+33 1 57 78 34 10, charlotte.hugo@caceis.com or LD-F-CT-OST-MARCHE-PRIMAIR@caceis.com).

Credit Agricole is a Paris-based bank.

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