Nexans buys back €126.83 million Oceanes via standing repurchase order

By Susanna Moon

Chicago, March 8 - Nexans said it repurchased €126,832,972 of its bonds due 2013 in the Oceane structure at a price of €86 per Oceane under a standing repurchase order in France for the five consecutive trading days from March 2 through March 8.

The purchases followed the company's off-market repurchases of bonds and were meant to ensure fair treatment of all holders, according to a company press release.

The company bought back 1,474,802 Oceanes, or about 38.9%, of the original issue amount.

After a reverse bookbuilding process on Feb. 21, Nexans said it repurchased €112.6 million of the Oceanes.

The company repurchased 1,309,625 convertibles, or about 34.5% of the total principal amount originally issued, at a unit price of €86, which is equal to the early redemption price (including the redemption premium) increased by a premium of 2.4%, the release noted.

Following these off-market repurchases, the company began a repurchase procedure in the market in France, placing a standing repurchase order at the same price as those of the off-market transactions.

The company repurchased a total of 73.4% of the bonds in all. After the repurchases, there are now 1,009,610 2013 Oceanes outstanding, or 26.6% of the amount initially issued.

Nexans said it may continue to repurchase the bonds in on- or off-market transactions. If the company repurchases the bonds representing a block of 10% or more of the initial principal amount of bonds, the company will put in place, within two market days of the block repurchases, a new repurchase procedure lasting at least five consecutive trading days at a repurchase price per Oceane equal to the sum of (i) the highest purchase price (after subtracting accrued interest) of purchases made by the company during the last 12 months and (ii) the accrued interest on the Oceane between the repurchase date and the latest interest payment date. The company will inform the market on the day before the launch of any new repurchase procedure.

The repurchase was led by HSBC and Societe Generale Corporate & Investment Banking as lead managers and bookrunners.

Paris-based Nexans is a cable maker for the energy, transport and telecom industries.

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