| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers D > Headlines for Deutsche Telekom AG > News item |
Deutsche Telekom launches tender offers for 2021, 2022 notes
By Marisa Wong
Los Angeles, May 18 – Deutsche Telekom International Finance BV has begun offers to purchase any and all of its outstanding $1 billion 1.95% notes due 2021 (Cusip: 25156PAU7, N27915AJ1) and $1 billion 2.82% notes due 2022 (Cusip: 25156PAY9, N27915AQ5) guaranteed by parent company Deutsche Telekom AG, according to a news release.
Holders who tender their notes by 5 p.m. ET on May 22 will receive a tender consideration for each $1,000 principal amount of notes accepted for purchase that would reflect a yield to the applicable par call or maturity date of those notes equal to the sum of the reference yield plus the applicable fixed spread.
The reference yield means the bid-side yield to maturity of the 0.125% U.S. Treasury due April 30, 2022. The fixed spread is 50 basis points for the 2021 notes and 65 bps for the 2022 notes.
Pricing will be determined at 10 a.m. ET on May 22.
In addition, holders will receive accrued interest to but excluding the settlement date, which is expected to be May 26.
Settlement of notes tendered through guaranteed delivery procedures is slated for May 28.
The offers are not conditioned on the tender of a minimum principal amount of notes.
The company said the purpose of the offers is to, among other things, proactively manage its cost of carry. The offers also give holders the opportunity to sell their current holdings in the notes ahead of the maturity date.
The company will fund the offers with available cash resources.
RBC Capital Markets, LLC (877 381-2099, 212 618-7843, +44 20 7029 0386, liability.management@rbccm.com) and TD Securities (USA) LLC (855 495-9846, 212-827-7381, USTMG@tdsecurities.com) are the dealer managers for the offers.
Global Bondholder Services Corp. (212 430-3774 for banks and brokers, 866 470-3900 for all others; contact@gbsc-usa.com; https://www.gbsc-usa.com/telekom/; fax 212 430-3775 or 212 430-3779) is the information and tender agent.
The telecommunications company is based in Bonn, Germany.
© 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.