THESE MATERIALS DO NOT CONSTITUTE OR FORM A PART OF ANY OFFER OR SOLICITATION TO PURCHASE OR SUBSCRIBE FOR SECURITIES IN THE UNITED STATES. THE NOTES MENTIONED HEREIN HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933 (THE “SECURITIES ACT”).
THE SECURITIES MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, US PERSONS (AS SUCH TERM IS DEFINED IN REGULATION S UNDER THE SECURITIES ACT) EXCEPT PURSUANT TO AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT. THERE WILL BE NO PUBLIC OFFER OF SECURITIES IN THE UNITED STATES.
NOT FOR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES OF AMERICA, ITS TERRITORIES AND POSSESSIONS OR TO ANY PERSON LOCATED OR RESIDENT IN THE REPUBLIC OF ITALY.
Announcement of final pricing regarding DONG Energy's invitation to tender hybrid capital bonds for repurchase
On 20 January 2011 DONG Energy A/S announcedthe results of itsconditional invitation to all holders (subject to regulatory offer restrictions as provided for in the Tender Offer Memorandum) of its outstanding EUR 1.1bn Subordinated Capital Securities due 3005 (ISIN: XS0223249003) to tender any or all (subject to the Maximum Acceptance Amount as provided for in the Tender Offer Memorandum) of their existing bonds for repurchase for cash. DONG Energy announcedthat it had accepted for repurchase an aggregate principal amount of existing bonds equal to EUR 500m with a Scaling Factor of 93.44%.
DONG Energy hereby announces the pricing of the invitation to tender hybrid capital bonds for repurchase. The Repurchase Price payable by the Company for each existing bond validly tendered in the Invitation and accepted for repurchase by DONG Energy will be 102.012 per cent of its principal amount, together with Accrued Interest of 3.210 per cent of the principal amount of each such Existing Bonds.
The following summarises the pricing terms for the Invitation:
Interpolated Mid-Swap Rate:2.623%
Repurchase Spread:2.35%
Repurchase Yield:4.973%
Repurchase Price:102.012%
Accrued Interest:3.210%
The Settlement Date is expected to be 28 January 2011. Following settlement of the Invitation, it is expected that EUR 600m in principal amount of the Existing Bonds will remain outstanding.
The related pricing document will be available via the following link:
http://www.dongenergy.com/en/investor/funding/pages/tender_offer.aspx
Barclays Capital, Deutsche Bank, J.P. Morgan and Société Générale were acting as Joint Dealer Managers and Danske Bank and Nordea were acting as Co-Dealer Managers for the Invitation. Lucid Issuer Services Limited is acting as Tender Agent. For detailed terms of the invitation, please refer to the Tender Offer Memorandum.
The information provided in this announcement does not change the previous
financial guidance for the financial year 2010or the announced expected
investment level.
For further information, please contact:
Media Relations
Ulrik Frøhlke
+45 9955 9560
Investor Relations
Morten Hultberg Buchgreitz
+45 9955 9750
DONG Energy is one of the leading energy groups in Northern Europe. We are headquartered in Denmark. Our business is based on procuring, producing, distributing and trading in energy and related products in Northern Europe. We have approximately 6,000 employees and generated just under DKK 50 billion (EUR 6.6 billion) in revenue in 2009. For further information, see www.dongenergy.com.
Disclaimer
This announcement must be read in conjunction with the Tender Offer Memorandum. This announcement and the Tender Offer Memorandum contain important information which should be read carefully before any decision is made with the respect to the Invitation. If you are in any doubt as to the action you should take, you are recommended to seek your own financial advice, including as to any tax consequences, from your stockbroker, bank manager, solicitor, accountant or other independent financial adviser. Any individual or company whose Existing Bonds are held on its behalf by a broker, dealer, bank, custodian, trust company or other nominee must contact such entity if it wishes to tender Existing Bonds in the Invitation. None of the Company, the Dealer Managers or the Tender Agent makes any recommendation whether Bondholders should tender Existing Bonds in the Invitation.