11

EVRAZ announces pricing of U.S.$500 million note issue and tender offer results

Date of publication: 10.06.2016

NOT FOR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES, ITS TERRITORIES AND POSSESSIONS (THE "UNITED STATES") OR TO ANY U.S. PERSON (AS DEFINED IN REGULATION S UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED) OR TO ANY PERSON LOCATED OR RESIDENT IN ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT.

10 June 2016 - Evraz Group S.A., a wholly owned subsidiary of EVRAZ plc, together with EVRAZ plc announce that Evraz Group S.A. has priced a U.S.$500 million notes issuance with maturity in January 2022, the coupon rate of 6.75% per annum, the current yield of 6.75% and the issue price of 99.983%. The notes will be issued by Evraz Group S.A.

The closing and settlement are expected to be completed on 16 June 2016.

Evraz Group S.A. intends to use the net proceeds of the issue to refinance existing indebtedness, including financing of purchases of the notes listed below to complete the Tender Offers.

***

Tender Offers

Pursuant to the tender offers announcement dated 1 June 2016, EVRAZ announces tender offers results as set forth in the table below:

Description of the notes


Minimum Denomination


Purchase Price


 

Notes Accepted for Purchase


Outstanding Principal Amount Following Settlement of the Tender Offers*


U.S.$600,000,000 7.40% Notes due 24 April 2017 issued by the Company (ISIN: XS0652913558; Common Code: 065291355), (the “2017 Notes”)

U.S.$200,000 and integral multiples of U.S.$1,000 thereafter

U.S.$1,050.00 per U.S.$1,000 in principal amount of the 2017 Notes

U.S.$72,979,000

U.S.$176,533,000

U.S.$700,000,000 9.50% Notes due 24 April 2018 issued by the Company (ISIN: XS0359381331; Common Code: 035938133), (the “First 2018 Notes”)

U.S.$100,000 and integral multiples of U.S.$1,000 thereafter

U.S.$1,088.75 per U.S.$1,000 in principal amount of the First 2018 Notes

U.S.$186,230,000

U.S.$137,095,000

U.S.$850,000,000 6.75% Notes due 27 April 2018 issued by the Company (ISIN: XS0618905219; Common Code: 061890521), (the “Second 2018 Notes”)

U.S.$200,000 and integral multiples of U.S.$1,000 thereafter

U.S.$1,032.50 per U.S.$1,000 in principal amount of the Second 2018 Notes

U.S.$70,918,000

U.S.$536,810,000

U.S.$400,000,000 7.75% Loan Participation Notes due 27 April 2017 issued by Raspadskaya Securities Limited (ISIN: XS0772835285; Common Code: 077283528), (the “Raspadskaya 2017 Notes” and, together with other notes listed in the table, the “Existing Notes”)

U.S.$200,000 and integral multiples of U.S.$1,000 thereafter

U.S.$1,050.00 per U.S.$1,000 in principal amount of the Raspadskaya 2017 Notes

U.S.$14,318,000

U.S.$25,855,000

* Existing Notes that are currently held by the Company and/or its subsidiaries are not considered “outstanding” for purposes of this table.

 

 

On or about 17 June 2016 (the “Payment Date”), subject to the conditions described in the Tender Offer Memorandum, the Noteholders will be paid (a) the relevant Purchase Price for the validly tendered and accepted Existing Notes, and (b) the Accrued Interest Amount from (and including) the immediately preceding interest payment date for the relevant Issue of the Existing Notes up to but not including the Payment Date.

The Tender Offers have now expired and no further Existing Notes can be tendered for purchase.

The Existing Notes (other than the Raspadskaya 2017 Notes) acquired in the Tender Offers will be cancelled. The Raspadskaya 2017 Notes purchased pursuant to the Tender Offers will be held by the Evraz Group S.A. for its own account and the Evraz Group S.A. does not currently intend to transfer them to Raspadskaya Securities Limited for purposes of redemption.

Existing Notes that have not been successfully tendered for purchase and accepted by the Evraz Group S.A. pursuant to the Tender Offers and the terms and conditions set out in the Tender Offer Memorandum will remain outstanding and will remain subject to the terms and conditions of such Existing Notes.

 

The notes referred to herein have not been and will not be registered under the US Securities Act of 1933, as amended (the "Securities Act") or any relevant securities laws of any state or other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act.

This press release is only being distributed to and is only directed at (i) persons who are outside the United Kingdom, (ii) persons in the United Kingdom who have professional experience in matters related to investments and who are investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "Order"), (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order and (iv) any other persons to whom this press release may otherwise be lawfully directed (all such persons together being referred to as "Relevant Persons"). The notes are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, Relevant Persons. Any person who is not a Relevant Person should not act or rely on this document or any of its contents.

This press release is not an offer, or an invitation to make offers, to sell, exchange or otherwise transfer securities in the Russian Federation to or for the benefit of any Russian person or entity and does not constitute an advertisement or offering of securities in the Russian Federation within the meaning of Russian securities laws. Information contained in this press release is not intended for any person in the Russian Federation who is not a "qualified investor" within the meaning of Article 51.2 of the Federal Law No. 39-FZ "On the Securities Market" dated 22 April 1996, as amended and must not be distributed or circulated into Russia or made available in Russia to any person who is not a Russian qualified investor, unless and to the extent they are otherwise permitted to access such information under Russian law.

This press release does not constitute an offer to sell or the solicitation of an offer to buy debt securities in the US or any other jurisdiction.

###

For further information:

Media Relations:

London: +44 207 832 8998              
Moscow: +7 495 937 6871

media@evraz.com

Investor Relations:

London: +44 207 832 8990                             
Moscow: +7 495 232 1370

ir@evraz.com


Back to the list