ADM starts private exchange offer for up to $600 million of debentures

By Jennifer Chiou

New York, Sept. 14 - Archer-Daniels-Midland Co. announced the start of private exchange offers for up to $600 million of its 6.95% debentures due 2097, 5.765% debentures due 2041, 7% debentures due 2031, 6.45% debentures due 2038, 5.935% debentures due 2032, 6.625% debentures due 2029, 7.5% debentures due 2027 and 6.75% debentures due 2027.

ADM said it is undertaking the offers to exchange higher-coupon debt for lower-coupon debt and an additional consideration.

The offers will expire at 11:59 p.m. ET on Oct. 12.

The offers are conditioned on the receipt of tenders for enough securities so that $250 million of new debentures will be issuable.

Another condition is that the yield on the reference 3% Treasury due May 15, 2042 may neither be less than 2.5% nor more than 3.6% at pricing, which is scheduled for 2 p.m. ET on Sept. 27. The 6.95% debentures, however, have a different range: 2.67% to 3.34%.

Those who tender for exchange prior to 5 p.m. ET on Sept. 27 will receive an early participation premium equal to $30.00 per $1,000 principal amount of old debentures.

The information agent is D.F. King & Co., Inc. (800 431-9645 or 212 269-5550).

ADM procures, processes and merchandises agricultural commodities and products and is based in Decatur, Ill.

© 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.