Issue of Debt

RNS Number : 7723H

Diageo PLC

10 November 2008

 



10 November 2008

Diageo reopens 2014 USD fixed rate bonds

Diageo has reopened its US dollar 1,000 million long 5-year SEC registered global bonds, due on 15 January 2014 with a coupon of 7.375%. The bonds were originally issued on 21 October 2008 by Diageo Capital plc, with payment of principal and interest fully guaranteed by Diageo plc.

Diageo also launched and priced an additional USD 500 million with the same terms (other than price to public and issue date), which will trade freely with the original bonds. The reopening for the additional USD 500 million has priced at a spread of 435 basis points above the yield for the 5-year U.S. Treasury Note due October 2013 (2.555% at time of pricing). Banc of America Securities LLC., Credit Suisse, Goldman, Sachs & Co. and HSBC Securities (USA) Inc were joint book-running managers for the reopening. The aggregate principal amount outstanding following the reopening is USD 1,500 million.

Proceeds from this issuance will be used for general corporate purposes. 

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities either in the United States or any other jurisdiction, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration and qualification under the securities laws of any such jurisdiction. Any public offering of securities in the United States is being made solely by means of a prospectus supplement to the prospectus included in the Registration Statement filed by Diageo plc, Diageo Capital plc, Diageo Finance B.V. and Diageo Investment Corporation and previously declared effective.

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Note for Editors: 

The original 2014 USD 1,000 million global bond priced at a spread of 462.5 basis points above the yield for the 5-year U.S. Treasury Note due September 2013 (2.829% at time of pricing).

Diageo contacts:

Investor enquiries    

Darren Jones          

[phone]                    

[e-mail]

Media enquiries       

James Crampton    

[phone] 

[e-mail] 

 

END

 

 

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