- Accor recently announced its intention to issue new Euro-denominated undated non-call 5.5 year deeply subordinated fixed to reset rate bonds for an expected amount of EUR 500 million (USD 555.73 million) with a first call date at the option of the Company in April 2025 (the “New Hybrid Bonds”).
- The Company also announced the launch of an any and all tender offer on its EUR 900 million Undated 6 Year Non-Call Deeply Subordinated Fixed to Reset Rate Bonds issued on June 20, 2014 (ISIN: FR0012005924, the “Existing Bonds”, of which EUR 514,100,000 are currently outstanding), listed on the Luxembourg Stock Exchange.
- The offer yield is 0% the tender offer price in respect of the Existing Bonds will be 102.694% if the settlement date is November 4, 2019. Should the settlement date be amended, the tender offer price will be recalculated, all as further described in the tender offer memorandum.
- The New Hybrid Bonds are scheduled to be admitted to trading on Euronext Paris. It is also expected that the rating agencies will assign a rating of BB/BB (S&P / Fitch) and an intermediate equity content of 50%.
- The tender offer was scheduled to commence on October 23, 2019 and will expire at 1600 hours, Paris time, on October 29, 2019. Settlement is expected to take place on November 4, 2019. The results of the tender offer on the Existing Bonds will be announced on October 30.
- Accor Group’s revenue in Q3 2019 was EUR 1.049 billion (USD 1.168 billion), up 10.9% as reported and 4.1% on a like-for-like basis.
PRESS RELEASE
ACCOR SA (the “Company”) today announces its intention to issue new Euro-denominated undated non-call 5.5 year deeply subordinated fixed to reset rate bonds for an expected amount of EUR 500,000,000 with a first call date at the option of the Company in April 2025 (the “New Hybrid Bonds”).
At the same time, the Company also announces the launch of an any and all tender offer on its EUR 900,000,000 Undated 6 Year Non-Call Deeply Subordinated Fixed to Reset Rate Bonds issued on 30 June 2014 (ISIN: FR0012005924, the “Existing Bonds”, of which €514,100,000 are currently outstanding), listed on the Luxembourg Stock Exchange.
The offer yield is 0%, and for information purposes, the tender offer price in respect of the Existing Bonds will be 102.694% if the settlement date is 4 November 2019. Should the settlement date be amended, the tender offer price will be recalculated, all as further described in the tender offer memorandum.
It is the Company’s intention to maintain the aggregate amount of its outstanding hybrid bonds at the current level and the Company remains committed to hybrid capital as a permanent part of its capital structure.
The New Hybrid Bonds are scheduled to be admitted to trading on Euronext Paris. It is also expected that the rating agencies will assign a rating of BB/BB (S&P / Fitch) and an intermediate equity content of 50%.
The tender offer will commence on October 23rd, 2019 and will expire at 4:00 p.m., Paris time, on October 29th, 2019. Settlement is expected to take place on 4 November 2019.
The results of the tender offer on the Existing Bonds will be announced on October 30th, 2019 (subject to any extension, withdrawal, termination or amendment of the tender offer).
