Launch of Bond Issue

RNS Number : 2104I

Shanks Group PLC

01 July 2013

 



THIS ANNOUNCEMENT IS NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR IN ANY OTHER JURISDICTION IN WHICH OFFERS OR SALES WOULD BE PROHIBITED BY APPLICABLE LAW. 

THIS ANNOUNCEMENT IS NEITHER AN OFFER TO SELL NOR A SOLICITATION OF AN OFFER TO BUY ANY OF THE BONDS REFERRED TO HEREIN AND SHALL NOT CONSTITUTE AN OFFER, SOLICITATION NOR SALE IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE IS UNLAWFUL, INCLUDING BUT NOT LIMITED TO THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN.

Shanks launches 4.23% Bonds to retail investors in Belgium and Luxembourg

Shanks Group plc ('Shanks' or 'the Group'), a leading international sustainable waste management business, launches six year bonds to raise up to €100m (the "Bonds"). This will be the second time that Shanks has issued bonds to retail investors in Belgium and the Grand Duchy of Luxembourg.

The Bonds will carry a gross coupon of 4.23%, payable annually for a period of six years from 30 July 2013. The redemption on maturity, expected to be 30 July 2019, will be at 100% of the nominal amount of the Bonds. Based on the issue price set at 101.875%, the annual gross yield is 3.874%.

The Bonds are available in denominations of €1,000 and will be listed on the main market of the London Stock Exchange. The joint lead managers for the transaction are BNP Paribas Fortis and KBC (the "Joint Lead Managers").

The subscription period will run from 9am CET on 3 July 2013 and is expected to close on 24 July 2013 at 4pm CET. Shanks retains the right to close the subscription period early, in conjunction with the Joint Lead Managers.

The issue significantly extends the maturity of the Group's funding. At 31 March 2013, Shanks core net debt was £177m, denominated predominantly in Euro and comprising €18m of Private Placement notes due September 2013 and €40m of Private Placement notes due April 2018, the existing €100m of Retail Bonds due October 2015 and drawings on a €200m bank facility which expires in June 2015.

To view the Prospectus dated 27 July 2013 (which includes the risk factors associated with the investment in the Bonds) please paste the following URL into the address bar of your browser:

http://www.rns-pdf.londonstockexchange.com/rns/0751I_-2013-6-27.pdf

A copy of the Prospectus is also available for inspection at the National Storage Mechanism (www.morningstar.co.uk/uk/NSM)

Potential investors in the Bonds must themselves assess, with their own advisors if necessary, whether the Bonds are suitable for them, considering their personal income and financial situation. In case of any doubt about the risk involved in purchasing the Bonds, investors should abstain from investing in the Bonds. The holder of any Bond bears the risk of losing some or all of his invested capital in any case of default by the issuer and the guarantors. Other risk factors are described in the Prospectus.

Toby Woolrych, Group Finance Director of Shanks Group plc, commented:
"Shanks is delighted to be launching our second retail bond offering to investors in Belgium and Luxembourg, following the successful issue of our 2010 bond, with the retail debt market in this region able to contribute to our overall capital structure. Shanks has existing waste management operations in Wallonia, Flanders and Brussels."

For further information:

College Hill	[phone]
Mike Davies
Helen Tarbet
Kim Peters

Disclaimer - Intended Addressees

Please note that the information contained in the Prospectus may be addressed to and/or targeted at persons who are resident of particular countries (specified in the Prospectus) only and is not intended for use and should not be relied upon by any person outside these countries and/or to whom the offer contained in the Prospectus is not addressed.

Prior to relying on the information contained in the Prospectus you must ascertain from the Prospectus whether or not you are part of the intended addressees of the information contained therein.

Your right to access this service is conditional upon complying with the above requirement.

THE BONDS REFERRED TO IN THIS DOCUMENT HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE US SECURITIES ACT OF 1933 (THE SECURITIES ACT) OR UNDER THE SECURITIES LEGISLATION OF ANY STATE OF THE UNITED STATES, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OTHER THAN PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THE ISSUER OF THE BONDS DOES NOT INTEND TO MAKE A PUBLIC OFFER OF SECURITIES IN THE UNITED STATES OR TO REGISTER ANY SECURITIES UNDER THE SECURITIES ACT.

 

END

 

 

MSCBLGDLCUDBGXI