SNAM holding tender offers for seven series of notes until Nov. 29

By Angela McDaniels

Tacoma, Wash., Nov. 25 – SNAM SpA began a tender offer for seven series of its notes, according to an announcement.

The offer is subject to a cap that the company will determine at its discretion. Notes may be subject to proration.

The following notes are eligible for the offer:

• €266.54 million of outstanding 3.375% notes due Jan. 29, 2021;

• €609,026,000 of outstanding 5.25% notes due Sept. 19, 2022;

• €344,731,000 of outstanding 1.5% notes due April 21, 2023;

• €900 million of outstanding 1% notes due Sept. 18, 2023;

• €262,639,000 of outstanding 1.375% notes due Nov. 19, 2023;

• €394,322,000 of outstanding 3.25% notes due Jan. 22, 2024;

• €500 million of outstanding 1.25% notes due Jan. 25, 2025.

The purchase prices will be determined using a purchase yield of negative 0.25% for the 3.375% notes, negative 0.20% for the 5.25% notes, negative 0.10% for the 1.5% notes, negative 0.05% for the 1% notes and 1.375% notes and zero percent for the 3.25% notes. For the 1.25% notes, the purchase price will be set by reference to the 2025 notes interpolated reference rate plus a purchase spread of 30 basis points.

If the settlement date is Dec. 3, the purchase price is expected to be 104.203 for the 3.375% notes, 115.292 for the 5.25% notes, 105.424 for the 1.5% notes, 103.722 for the 1% notes, 105.653 for the 3.25% notes and 113.445 for the 1.25% notes. These prices will be recalculated if the settlement date changes.

The company will also pay accrued interest.

The offer will end at 11 a.m. ET on Nov. 29.

Holders must tender at least €100,000 of notes in order to participate.

SNAM said the transaction is consistent its optimizing of its debt structure and cost of capital.

The dealer managers are BNP Paribas (44 20 7595 8668 or liability.management@bnpparibas.com), Citigroup Global Markets Ltd. (44 207 986 8968 or liabilitymanagement.europe@citi.com), Mediobanca Banca di Credito Finanziario SpA (+39 02 8829 1 or MB_LM_CORP_IT@mediobanca.com), Merrill Lynch International (+44 20 7996 5420 or DG.LM-EMEA@bofa.com), SMBC Nikko Capital Markets Europe GmbH (+44 20 3527 7545 or LM.EMEA@smbcnikko-cm.com) and UniCredit Bank AG (+49 89 378-3318825 or liability.management@unicredit.de).

The tender agent is Lucid Issuer Services Ltd. (44 20 7704 0880 or snam@lucid-is.com).

SNAM is a natural gas infrastructure company based in San Donato Milanese, Italy.

© 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.