Bunge launches cash tender offer for 8.5% senior notes due 2019

By Marisa Wong

Morgantown, W.Va., Sept. 4 – Bunge Ltd. has begun a cash tender offer for any and all of its $600 million outstanding 8.5% senior notes due 2019, according to a press release.

The tender offer will expire at 5 p.m. ET on Sept. 10.

The tender offer consideration will be determined using a fixed spread of 50 basis points plus the yield based on the bid-side price of the 0.875% U.S. Treasury due June 15, 2019. Pricing will be set at 2 p.m. ET on Sept. 10.

The company will also pay accrued interest from the June 15 interest payment date up to but excluding the settlement date, which is expected to be Sept. 11.

Tendered notes may be withdrawn at any time at or prior to the expiration time.

The tender offer is subject to a financing condition. The company announced separately that it plans to issue new senior notes.

The company expects to redeem any 2019 notes that remain outstanding after the tender offer.

SMBC Nikko Securities America, Inc. (212 224-5328 or 888 284-9760) is dealer manager and HSBC Securities (USA) Inc. is co-dealer manager for the tender offer.

D.F. King & Co., Inc. (bunge@dfking.com or 212 269-5550 for banks and brokers or 888 626-0988 for all others) is the depositary and information agent.

Bunge is an agribusiness and food company based in White Plains, N.Y.

© 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.