Company Website:
http://www.citigroup.com
NEW YORK -- (Business Wire)
Citigroup Inc. (“Citigroup”) announced today the expiration and
final tender results of its previously announced cash tender offers
(each, an “Offer” and, collectively, the “Offers”) with
respect to the series of notes set forth in the first table below (the “Any
and All Notes”) and the second table below (the “Maximum Tender
Notes,” and together with the Any and All Notes, the “Notes,”
and each a “series” of Notes).
These Offers, in which Notes totaling approximately $1,154,501,000 are
being accepted, are consistent with Citigroup’s liability management
strategy, and reflect its ongoing efforts to enhance the efficiency of
its funding and capital structure. Since 2013, Citigroup redeemed or
retired $33.8 billion of securities, excluding exchanged securities, of
which $11.7 billion was redeemed or retired in 2015, reducing
Citigroup’s overall funding costs. Citigroup will continue to consider
opportunities to redeem or repurchase securities based on several
factors, including, without limitation, economic value, potential impact
on Citigroup’s net interest margin and borrowing costs, overall
remaining tenor of Citigroup’s debt portfolio, capital impact, and
overall market conditions.
The final Settlement Date (the “Final Settlement Date”) is
expected to occur on December 1, 2015 for all series of Notes.
As the Expiration Date for the Offers was November 25, 2015, the
deadline for tendering Notes pursuant to the Offers has now passed.
Citigroup accepted an aggregate principal amount of approximately
$485,859,000 of the Any and All Notes on the Early Tender Date and
purchased such Any and All Notes on the Early Settlement Date. Citigroup
has accepted Any and All Notes validly tendered after the Early Tender
Date, but on or prior to the Expiration Date, in an aggregate principal
amount of $442,000. Holders of these Any and All Notes are entitled to
receive the applicable Tender Offer Consideration which is equal to the
Total Consideration applicable to such Notes less the Early Tender
Premium, plus accrued and unpaid interest to, but not including, the
Final Settlement Date.
Citigroup accepted an aggregate principal amount of approximately
$666,966,000 of the Maximum Tender Notes on the Early Tender Date and
purchased such Maximum Tender Notes on the Early Settlement Date.
Citigroup has accepted all Maximum Tender Notes validly tendered after
the Early Tender Date, but on or prior to the Expiration Date, in an
aggregate principal amount of $1,234,000. Holders of these Maximum
Tender Notes are entitled to receive the applicable Tender Offer
Consideration which is equal to the Total Consideration applicable to
such Notes less the Early Tender Premium, plus accrued and unpaid
interest to, but not including, the Final Settlement Date.
The following tables set forth the aggregate principal amount of each
series of Notes that were outstanding immediately prior to the
Expiration Date and that were validly tendered on or prior to the
Expiration Date. All Notes validly tendered pursuant to the Offers have
been accepted for purchase.
Any and All Notes |
|
| |
| |
| |
| |
Title of Security | | CUSIP / ISIN | | Principal Amount Outstanding | | Aggregate Principal Amount Tendered Pursuant
to the Offer | | Aggregate Principal Amount Accepted Pursuant
to the Offer |
6.950% Notes due 2018 issued by Associates First Capital
Corporation
| |
046003JU4 / US046003JU47
| |
$463,699,000
| |
$486,301,000
| |
$486,301,000
|
Maximum Tender Notes |
|
| |
| |
| |
| |
| |
Title of Security | | CUSIP / ISIN | | Principal Amount Outstanding | | Aggregate Principal Tendered Pursuant
to the Offer | | Amount Maximum Series Tender Cap | | Aggregate Principal Amount Accepted
Pursuant to the Offer |
5.375% Notes due 2020 issued by Citigroup
| |
172967FF3 / US172967FF30
| |
$991,800,000
| |
$668,200,000
| |
$1,000,000,000
| |
$668,200,000
|
The Offers were made pursuant to the Offer to Purchase and the related
consent and letter of transmittal, which set forth in more detail the
terms and conditions of the Offers. Capitalized terms used but not
otherwise defined in this announcement shall have the meaning given to
them in the Offer to Purchase.
In addition, the proposed amendments to the indenture governing the Any
and All Notes (as described in the Offer to Purchase) will not be
effected.
Citigroup retained its affiliate, Citigroup Global Markets Inc., to
serve as the sole dealer manager for the Offers. Global Bondholder
Services Corporation was retained to serve as the depositary and
information agent.
This press release is neither an offer to purchase nor a solicitation to
buy any of these Notes nor is it a solicitation for acceptance of any of
the Offers. Citigroup made the Offers only by, and pursuant to the terms
of, the Offer to Purchase and the related letter of transmittal. The
Offers have not been made to (nor have tenders of Notes been accepted
from or on behalf of) holders of Notes in any jurisdiction in which the
making or acceptance thereof would not be in compliance with the
securities, blue sky or other laws of such jurisdiction. This
announcement must be read in conjunction with the Offer to Purchase and,
where applicable, the related letter of transmittal.
United Kingdom. The communication of the Offer to Purchase
and any other documents or materials relating to the Offers is not being
made and such documents and/or materials have not been approved by an
authorized person for the purposes of Section 21 of the Financial
Services and Markets Act 2000. Accordingly, such documents and/or
materials are not being distributed to, and must not be passed on to,
the general public in the United Kingdom. The communication of such
documents and/or materials as a financial promotion is only being made
to those persons in the United Kingdom falling within the definition of
investment professionals (as defined in Article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”)
or within Article 43(2) of the Order, or high net worth companies, and
other persons to whom it may lawfully be communicated in accordance with
Article 49(2)(a) to (d) of the Order.
###
Citigroup, the leading global bank, has approximately 200 million
customer accounts and does business in more than 160 countries and
jurisdictions. Citigroup provides consumers, corporations, governments
and institutions with a broad range of financial products and services,
including consumer banking and credit, corporate and investment banking,
securities brokerage, transaction services, and wealth management.
Additional information may be found at www.citigroup.com.
Certain statements in this release, including, without limitation, the
anticipated consummation of the Offers and Citigroup’s continued
successful execution of its liability management strategy, are “forward-looking
statements” within the meaning of the rules and regulations of the
U.S. Securities and Exchange Commission. These statements are based on
management’s current expectations and are subject to uncertainty and
changes in circumstances. Actual results may differ materially from
those included in these statements due to a variety of factors,
including, without limitation, (i) the level of participation in the
Offers, and (ii) the precautionary statements included in this release
and those contained in Citigroup’s filings with the U.S. Securities and
Exchange Commission, including, without limitation, the “Risk Factors”
section of Citigroup’s 2014 Annual Report on Form 10-K.
View source version on businesswire.com: http://www.businesswire.com/news/home/20151127005277/en/
Contacts:
Citigroup Inc.
Media Contacts:
Mark Costiglio, 212-559-4114
or
Investors:
Susan
Kendall, 212-559-2718
or
Fixed Income Investors:
Peter
Kapp, 212-559-5091
Source: Citigroup Inc.
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