Newmont Mining pushes out deadline to exchange Goldcorp notes

By Wendy Van Sickle

Columbus, Ohio, April 15 – Newmont Mining Corp. is extending its offer to exchange any and all of the $2 billion of outstanding notes of Goldcorp Inc. for up to $2 billion of new notes issued by Newmont and cash, according to a news release issued Monday.

The company is also extending a related solicitation of consents from holders of each of the three series of notes.

Each of the exchange offer and consent solicitation will now expire at 9 a.m. ET on April 18, pushed back from 9 a.m. ET on April 12.

Newmont said the new expiration deadlines will coincide with the closing of Newmont’s acquisition of all of the outstanding common shares of Goldcorp in exchange for newly issued shares of Newmont’s common stock and cash.

As announced on March 15, the Goldcorp notes include the $550 million of 3.625% notes due June 9, 2021; the $1 billion of 3.7% notes due March 15, 2023; and the $450 million of 5.45% notes due June 9, 2044.

As of the original expiration time, tenders had been received for $472.41 million, or 85.89% of the 2021 notes; $810,276,000, or 81.03%, of the 2023 notes; and $443,644,000, or 98.59%, of the 2044 notes.

For each series, the total consideration will equal $1,000 of new notes with the same coupon and maturity date as the existing notes plus $1.00 in cash for each $1,000 of Goldcorp notes exchanged by the early deadline, 5 p.m. ET on March 28.

Each total consideration includes an early tender premium of $30.00 of new notes that will not be paid to holders tendering their notes for exchange after the early deadline.

In conjunction with the exchange offers, Newmont is soliciting consents to adopt some proposed amendments to each of the indentures governing the existing Goldcorp notes to eliminate some of the covenants, restrictive provisions, events of default and related provisions.

Each exchange offer and consent solicitation is conditioned upon the completion of the other exchange offers and consent solicitations, although Newmont said it may waive this condition.

As of the early tender date, Newmont said it had received the requisite consents to adopt the amendments for each series of notes.

The exchange offers and consent solicitations are also conditioned on completion of Newmont’s acquisition of Goldcorp.

The offers are being made under Rule 144A and Regulation S.

Global Bondholder Services Corp. (866 807-2200 or 212 430-3774) is the exchange agent and the information agent.

The issuer is a gold and copper producer based in Denver.

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