Cemex plans benchmark dual-currency notes offer; pricing Tuesday

By Paul A. Harris

Portland, Ore., March 25 - Mexico's Cemex, SAB de CV, in conjunction with Cemex Finance LLC, an indirect subsidiary of Cemex Spain, SA, is in the market with a benchmark dual-currency offering of secured notes, according to market sources.

The deal includes a benchmark dollar-denominated offering of 10-year notes, which come with five years of call protection.

Proceeds will be used to fund a tender offer for a portion of Cemex Spain's 9¼% senior secured notes due 2020 and for Cemex's 9% notes due 2018 and for general corporate purposes, including payment of other debt.

Cemex also plans to sell €300 million of seven-year notes, which come with three years of call protection.

Proceeds from the euro-denominated notes will be used to take out the remaining $130 million of Cemex's 9 5/8% senior secured notes due 2017 and the remaining $115,346,000 of Cemex Spain's 8 7/8% senior secured notes due 2017, and for general corporate purposes, including payment of other debt.

Joint bookrunner Citigroup Global Markets will bill and deliver for the dollar-denominated tranche. Joint bookrunner J.P. Morgan will bill and deliver for the euro-denominated tranche.

Credit Agricole CIB, HSBC and Santander are also bookrunners.

Cemex is a multinational building products company with headquarters in San Pedro Garza García, Mexico.

© 2015 Prospect News.
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