HSBC announces pricing in cash tender offers for nine note series

By Wendy Van Sickle

Columbus, Ohio, Nov. 24 – HSBC Holdings plc announced the pricing of its separate offers to purchase for cash any and all of the notes in nine series, according to a Tuesday press release.

On Nov. 17, HSBC priced $2 billion of 1.589% fixed-to-floating senior secured notes due 2027, and that is the amount available for the tender offers, as previously reported.

As of Nov. 17, the aggregate outstanding principal amount of the notes subject to the offers totaled $8,261,539,000.

The following are included in the offers, listed in order of acceptance priority level and with the total considerations per $1,000 principal amount:

• $2 billion outstanding 4% senior notes due March 30, 2022 (Cusip: 404280AN9) for $1,050.02, calculated using the 0.375% U.S. Treasury due March 31, 2022 and a fixed spread of 10 basis points;

• $1,541,839,000 outstanding 2.95% senior notes due May 25, 2021 (Cusip: 404280AY5) for $1,013.39, calculated using the 2.625% U.S. Treasury due May 15, 2021 and a fixed spread of 10 bps;

• $638,128,000 outstanding 2.65% senior notes due Jan. 5, 2022 (Cusip: 404280BF5) for $1,026.64, for $1,026.64, based on the 1.625% U.S. Treasury due Dec. 31, 2021 and a fixed spread of 10 bps;

• $417,483,000 outstanding 4.875% senior notes due Jan. 14, 2022 (Cusip: 404280AL3) for $1,052.17, based on the 1.625% U.S. Treasury due Dec. 31, 2021 and a fixed spread of 10 bps;

• $755,193,000 outstanding floating-rate senior notes due Jan. 5, 2022 (Cusip: 404280BG3) at a fixed price of $1,015.70 per $1,000 principal amount;

• $978,489,000 outstanding 3.4% senior notes due March 8, 2021 (Cusip: 404280AV1) for $1,008.81, based on the 1.125% U.S. Treasury due Feb. 28, 2021 and a fixed spread of 5 bps;

• $848,554,000 outstanding 5.1% senior notes due April 5, 2021 (Cusip: 404280AK5) for $1,017.14, based on the 1.25% U.S. Treasury due March 31, 2021 and a fixed spread of 5 bps;

• $570,318,000 outstanding floating-rate senior notes due May 25, 2021 (Cusip: 404280AZ2) at a fixed price of $1,008.00 per $1,000 principal amount; and

• $511,535,000 outstanding floating-rate senior notes due March 8, 2021 (Cusip: 404280AX7) at a fixed price of $1,006.10 per $1,000 principal amount.

Pricing was set at 11 a.m. ET on Nov. 24.

The offers began at 10 a.m. ET on Nov. 17 and will expire at 5 p.m. ET on Nov. 24.

In addition to the consideration, holders will receive accrued interest to but excluding the settlement date, which is expected to be Nov. 30.

Each offer is independent of the other offers.

HSBC Bank plc (+44 20 7992 6237, 212 525-5552 or 888 HSBC-4LM, liability.management@hsbcib.com) is the dealer manager for the offers.

Global Bondholder Services Corp. (866 470-4300 or, for banks and brokers, 212 430-3774) is the information agent.

The banking and financial services company is based in London.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.