Hemfosa Fastigheter AB (publ) (the “Issuer”) has mandated Danske Bank and SEB (“Joint Bookrunners”) to arrange a series fixed income investor meetings commencing on 21 February 2017. A SEK fixed and/or floating rate senior unsecured bond transaction with a maturity of approximately 3.5 years will follow (the “New Issue”), subject to inter alia market conditions and final decision by Hemfosa.
In addition and subject to the conditions stated below, Hemfosa announces a conditional and voluntary Tender Offer directed to the holders of its SEK denominated floating and fixed rate bonds with ISIN SE0005933207 and SE0005933215 issued on 8 May 2014 and maturing on 4 April 2017 (the “April 2017 bonds”).
As part of Hemfosa’s continuous liability management efforts, the purpose of the Tender Offer is to proactively manage upcoming debt redemptions and to extend the debt maturity profile.
The Tender Offer
Conditional upon the New Issue, the Issuer is hereby offering to repurchase any and all of the outstanding April 2017 bonds for cash. The Issuer offers to pay a cash purchase price for the April 2017 bonds tendered equal to the following:
- For the floating rates bonds (ISIN:SE0005933207), 100.25% of the nominal principal amount of each note (plus accrued and unpaid interest from but excluding the previous day of interest payment and including the relevant settlement date); and
- For the fixed rate bonds (ISIN: SE0005933215), 100.40% of the nominal principal amount of each note (plus accrued and unpaid interest from but excluding the previous day of interest payment and including the relevant settlement date)
Proceeds from the New Issue will be used to refinance the April 2017 bonds and for general corporate purposes. The Issuer may at its sole discretion award holders of the April 2017 bonds that participate in the Tender Offer priority allocation in the New Issue, given that holders have submitted a valid tender instruction to one of the arranging banks using the contact details below. Moreover, the Tender Offer is conditional upon the successful completion, determined by the Issuer, of the New Issue, on terms satisfactory to Hemfosa in its sole discretion.
The Tender Offer expires in conjunction with the completion of the New Issue, unless extended, re-opened, withdrawn or terminated at the sole discretion of the Issuer. Hemfosa will announce the results and whether any of the April 2017 bonds will be accepted for the offer after the pricing of the New Issue. Settlement of the Tender Offer is expected to take place on the same date as the settlement of the bonds subscribed for in the New Issue.
- Commencement of the Tender Offer: February 17, 2017
- Expiration deadline: February 22, 2017
- Announcement of tender results: February 23, 2017
- Settlement of tender and New Issue: March 1, 2017
We kindly ask you to contact your custody bank or your sales contact at one of the Joint Bookrunners if you wish to tender your bonds and/or for any questions related to the Tender Offer or the New Issue (contact details below).
For further information, please contact:
Linda Eriksson, Head of Finance, [email protected], mobile +46 72 166 24 28, office +46 8 448 04 80