11 January 2010
HeidelbergCement issues new EUR benchmark bonds
HeidelbergCement has mandated a bank consortium led by Deutsche Bank, Citi, Commerzbank, ING, LBBW, RBS and UniCredit to offer and sell EUR denominated notes to institutional investors in the domestic markets and abroad. Dr. Bernd Scheifele, CEO of the company, stated: “This capital market transaction will further reduce our bank debt and will result in an improvement of the maturity profile of our liabilities.”
The bonds are proposed to be divided in two tranches, each with a minimum volume of EUR 500 million with maturities until August 2015 and April 2020. The final amounts of each tranche as well as the specific terms and conditions will be determined during the course of this week after a book-building process in accordance with market conventions. The notes will be issued in bearer form and in denominations of EUR 1,000. Interest payments will be made semi-annually in arrear.
The issue proceeds will be applied to the refinancing of the syndicated bank facility; this will extend and improve the maturity profile of the outstanding debt of HeidelbergCement.
The senior notes will be issued by HeidelbergCement AG. The admission to trading on the regulated market of the Luxembourg Stock Exchange will be applied for. The bonds will be guaranteed by Hanson Limited, United Kingdom, a wholly owned subsidiary of HeidelbergCement.
Upon the approval of the prospectus by the financial supervisory agency CSSF in Luxembourg, which is expected on or about 14 January 2010, the prospectus will be published and can be obtained via a number of sources including the investor relations pages of the company’s internet site: http://www.heidelbergcement.com under the section “Investor Relations”. For the primary placement of the bonds and any further trading all applicable selling restrictions need to be observed. In particular, sales to any private investors in Germany are only possible following the publication of the prospectus.
The information contained herein serves information purposes and does not constitute a prospectus or any offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe for any securities of HeidelbergCement AG.
This release does not constitute an offer to sell or a solicitation of an offer to buy securities in the United States of America. Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended (the "Securities Act"). The securities described herein will not be registered under the Securities Act.
The information contained in this release may not be issued or distributed in or into the United States of America, Canada, Australia or Japan and does not constitute an offer to sell nor a solicitation of an offer to buy securities in the United States of America, Canada, Australia or Japan.