By Rebecca Melvin
New York, June 10 – Airbus Group SE priced €1.08 billion of 0% five-year bonds exchangeable into shares of Dassault Aviation SA at 103.75% of par to yield minus 0.73% and with an initial exchange premium of 37.5%, according to a news release.
Pricing came within the talked range for the issue price and yield, which was for 102.5% to 105% of par to yield minus 0.97% to minus 0.49%. But the initial exchange premium was lower than talk for a 45% premium.
Airbus also sold €784 million shares of Dassault Aviation, or 0.83 million shares at €950 each. And Dassault Aviation bought back 502,282 shares.
Upon completion of the share offering and in case of the exchange in full of the bonds, Airbus Group will have fully disposed of its Dassault Aviation stake.
The €100,000 par exchangeables have an initial exchange price of €1,306.25. They are callable under certain conditions, and holders of the bonds may exercise their exchange right at any time after July 25 or in the event of early redemption.
BofA Merrill Lynch, BNP Paribas, Deutsche Bank AG, London Branch, Goldman Sachs International and JPMorgan were joint bookrunners of both the equity placement and the bond issue on behalf of Airbus Group. Rothschild & Cie acted as financial adviser.
Proceeds will be used for the general corporate purposes of Airbus Group.
Settlement is expected June 14. Application is being made to list the bonds on the Frankfurt Stock Exchange.
Airbus is a multinational European aerospace and defense company based in Toulouse, France.
Paris-based Dassault is an international maker of aircraft.
| Issuer: | Airbus Group SE
|
| Issue: | Exchangeable bonds
|
| Exchange entity: | Dassault Aviation SA
|
| Amount: | €1.08 billion
|
| Maturity: | 2021
|
| Concurrent issue: | €784 million shares of Dassault Aviation, or 0.83 million shares at €950 each
|
| Bookrunners: | BofA Merrill Lynch, BNP Paribas, Deutsche Bank AG, London Branch, Goldman Sachs International and JPMorgan were joint bookrunners of both the equity placement and the bond issue on behalf of Airbus Group
|
| Financial adviser: | Rothschild & Cie
|
| Coupon: | 0%
|
| Price: | 103.5% of par
|
| Yield: | Minus 0.73%
|
| Exchange premium: | 37.5%
|
| Exchange price: | €1,306.25
|
| Net share settlement: | Yes
|
| Callable: | Yes, under certain circumstances
|
| Putable: | Yes
|
| Price talk: | 102.5%-105% of par, yield minus 0.97%- minus 0.49%, up 45%
|
| Pricing date: | June 10
|
| Settlement date: | June 14
|
| Stock symbol: | Paris: AIR
|
| Distribution: | Regulation S
|
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