Amplifon successfully places bond issue for €350 million with 7 year maturity
Issue price of 99.253% and an annual coupon of 1.125%. Requests exceed 10 times the amount initially offered.
Amplifon S.p.A. (“Amplifon”) (MTA; Bloomberg ticker: AMP:IM) announces the successful placement of senior unsecured non-convertible bond notes (the “Notes”) for a total nominal amount of 350 million euros. The issue of the Notes was authorized by Amplifon’s Board of Directors on January 29th, 2020 and the final terms of the Notes were fixed by Amplifon’s Chief Executive Officer on the date hereof. The resolution of the Chief Executive Officer will be made available to the public pursuant to applicable law once recorded in the Company Register.
- Issuer: Amplifon S.p.A
- Guarantors: Amplifon (USA), Inc. and National Hearing Centres Pty. Ltd.
- Nominal amount: Euro 350 million
- Pricing date: February 5th, 2020
- Settlement date: February 13th, 2020
- Maturity: 7 years
- Spread over Mid-Swap: 140bps
- Coupon: 1.125% (fixed, annual)
- Issue price: 99.253%
- Final redemption: 100%
The newly issued Notes will be listed on the Luxembourg Stock Exchange’s Euro MTF Market and will be reserved exclusively to institutional investors outside the United States. In connection with the issuance of the Notes, stabilization actions might be carried out in accordance with all applicable laws. S&P Global Ratings Europe Limited (“S&P”) is expected to assign a “BB+” rating to the Notes.
The issue attracted high quality institutional investors across Europe, and total demand exceeded Euro 3 billion (implying an oversubscription rate of the amount of Notes initially offered of over 10 times).
The issuance of the Notes is in line with Amplifon’s goal of constantly optimizing its financial structure through diversification of sources of funding and extension of average debt maturity. The proceeds are intended to be used to refinance existing indebtedness and for general corporate purposes.
“Both the strong interest from the market which resulted in orders of over 3 billion euros and the great quality of the orders received once again confirm the market’s positive attitude towards Amplifon thanks to our solid track-record of strong and consistent execution and cash generation. With this transaction we further strengthen our financial structure, enhancing our flexibility, extending our average maturity and diversifying our sources of funding,” said Enrico Vita, Amplifon’s Chief Executive Officer.
UniCredit Bank acted as Global Coordinator and BNP Paribas, HSBC, ING, Mediobanca and UniCredit Bank acted as Joint Bookrunners in connection with the issue of the Notes.
Amplifon was assisted by the law firm White & Case regarding legal matters and by the law firm Gianni, Origoni, Grippo, Cappelli & Partners concerning fiscal matters, while the Joint Bookrunners were assisted by Clifford Chance.