Veolia launches up to €700 million of convertible bonds due 2025

By Rebecca Melvin

New York, Sept. 5 – Veolia Environnement SA said it has launched an offering of up to €700 million of convertible bonds due Jan. 1, 2025 that were being talked to yield between negative 1.1% and negative 0.6% and with an initial conversion premium of 35% to 40% above the share reference price.

The offering is being made by a placement to qualified investors without shareholders' preferential subscription rights, for a nominal amount of €500 million, which may be increased to a maximum nominal amount of €700 million if the increase option is exercised.

The bonds were being talked at an issue price range of 103.25 to 106.05.

The company was also offering to repurchase an existing Oceane due March 15, 2021 via reverse bookbuilding. The company will not proceed with the offers if less than 60% of the principal amount of the 2021 notes are tendered.

Proceeds that are not used for the repurchase will be used for general corporate purposes.

The bonds are non-callable until Jan. 1, 2023, and then provisionally callable at a price hurdle of 130%.

Holders can put the bonds upon a change of control.

Final terms are expected to be announced on Thursday with settlement expected on Sept. 12.

Veolia is an environmental services provider based in Paris.

© 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.