Bond issue

RNS Number : 6765P

BAE SYSTEMS PLC

06 October 2011

 



BAE Systems plc Bond Issue

6 October 2011

BAE Systems plc announces a private placement of notes (the "Notes") to qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons outside the United States in accordance with Regulation S under the Securities Act, to raise net proceeds of approximately $1.25 billion.  The Notes will be issued by BAE Systems plc.  The Notes to be issued consist of U.S.$350 million aggregate principal amount of Notes paying 3.50% interest and maturing on October 11, 2016, U.S.$500 million aggregate principal amount of Notes paying 4.75% interest and maturing on October 11, 2021 and U.S.$400 million aggregate principal amount of Notes paying 5.80% interest and maturing on October 11, 2041.  The net proceeds of the offering will be used for general corporate purposes, including repayment of indebtedness.  The offering is expected to close on or about October 11, 2011.

The Notes will not be and have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

This news release does not constitute an offer to sell or the solicitation of an offer to buy the Notes.  Any offer of the Notes will be made only by means of a private offering memorandum.

 

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