Procter & Gamble aims to pay $1.4 billion in tender for nine series

By Susanna Moon

Chicago, May 23 – Procter & Gamble Co. said it expects to pay about $1.4 billion to purchase notes tendered from nine series as of the early deadline at 5 p.m. ET on May 22.

P&G amended the terms of the tender offer to increase the maximum aggregate purchase price from $1.25 billion to an amount that would be enough to purchase all of the first nine series of notes tendered as of the early deadline.

As announced May 9, the issuer was offering to pay up to $1.25 billion in the tender for 11 series of notes.

Holders had tendered the following amount of notes, listed in order of priority acceptance levels, as of the early deadline with the purchase price to be set using a reference security plus a fixed spread:

• $34,895,000 of the $97 million 8.75% debentures due 2022 with pricing based on the 2.75% U.S. Treasury due Apr. 30, 2023 plus 30 basis points;

• $26,351,000 of the $96,987,000 8% debentures due 2024 with pricing based on the 2.75% U.S. Treasury due April 30, 2023 plus 40 bps;

• $22,075,000 of the $66,206,000 8% debentures due 2029 with pricing based on the 2.75% U.S. Treasury due Feb. 15, 2028 plus 75 bps;

• $49,536,000 of the $160,147,000 6.45% debentures due 2026 with pricing based on the 2.75% U.S. Treasury due Feb. 15, 2028 plus 55 bps;

• £204,901,000 of the £310,529,000 6.25% notes due 2030 with pricing based on the 4.75% U.K. Treasury due Dec. 7, 2030 plus 40 bps;

• $78,673,000 of the $475.21 million 5.8% notes due 2034 with pricing based on the 2.75% U.S. Treasury due Nov. 15, 2047 plus 43 bps;

• $367,839,000 of the $1,130,469,000 5.55% notes due 2037 with pricing based on the 2.75% U.S. Treasury due Nov. 15, 2047 plus 45 bps;

• $67,779,000 of the $368,787,000 5.5% notes due 2034 with pricing based on the 2.75% U.S. Treasury due Nov. 15, 2047 plus 43 bps;

• £109,211,000 of the £200 million 5.25% notes due 2033 with pricing based on the 4.25% U.K. Treasury due June 7, 2032 plus 43 bps;

• €337,813,000 of the €1 billion 4.875% notes due 2027 with pricing based on the May 2027 interpolated swap rate minus 5 bps; and

• €158,596,000 of the €600 million 4.125% notes due 2020 with pricing based on the December 2020 interpolated swap rate minus 25 bps.

Pricing was scheduled for 10 a.m. ET on May 23.

The total purchase price will include an early tender premium of $30, £30 or €30 for each $1,000, £1,000 or €1,000 principal amount, respectively, of notes tendered before the early deadline.

The tender offers are set to end at midnight ET on June 7.

Tenders may not be withdrawn after the early deadline.

Deutsche Bank Securities Inc. (212 250-2955, 866 627-0391 or +44 20 7545 8011) and Morgan Stanley & Co. LLC (212 761-1057, 800 624-1808 or +44 20 7677 5040) are the dealer managers. The information and tender agent is D.F. King (212 269-5550, 866 356-7813, +44 20 7920 9700, pg@dfking.com or https://sites.dfkingltd.com/pg).

The consumer products company is based in Cincinnati.

© 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.