Land Securities Group PLC Result of tender offer to purchase bonds for cash (0390D)

TIDMLAND

RNS Number : 0390D

Land Securities Group PLC

21 April 2017

LAND SECURITIES GROUP PLC

("LAND SECURITIES")

LAND SECURITIES ANNOUNCES RESULT OF TENDER OFFER

TO PURCHASE BONDS FOR CASH

Land Securities confirms that QAM Funding Limited Partnership (QAM) has received tender instructions from holders of the Sceptre Funding No.1 PLC bonds, representing in total GBP204,914,651 or 75% of the bonds outstanding. QAM confirms that, following the passing of the Extraordinary Resolution at today's bondholder meeting, the Extraordinary Resolution Condition has been satisfied and so it will purchase all of these bonds at a spread of 47 basis points above the benchmark Gilt. The expected settlement date is 25 April 2017.

QAM further confirms that it intends to exercise its right to redeem the remaining bonds (GBP68,262,924) at a spread of 50 basis points above the benchmark Gilt, per the terms and conditions of the notes. This redemption is expected to take place on the next interest payment date of 9 May 2017.

The following release was issued to the Irish Stock Exchange this afternoon:

"ANNOUNCEMENT OF FINAL RESULTS OF THE TENDER OFFER

On 30 March 2017, QAM Funding Limited Partnership (QAM) announced an invitation to the holders (the Bondholders) of Sceptre Funding No.1 PLC's (the Issuer) presently outstanding GBP273,177,575 5.253 per cent. Bonds due 2027 (ISIN: XS0441698866) (the Bonds) to tender their Bonds for purchase by QAM for cash (the Tender Offer). The Tender Offer was made subject to the conditions set out in the consent solicitation and tender offer memorandum dated 30 March 2017 (the Offer Memorandum), including the offer and distribution restrictions set out therein.

Capitalised terms used in this announcement but not defined have the meanings given to them in the Offer Memorandum.

QAM announces today that it will accept for purchase in cash an aggregate principal amount of Bonds validly tendered pursuant to the Tender Offer equal to GBP204,914,650.70. At a meeting of Bondholders held earlier today, the Extraordinary Resolution modifying the terms of the Bonds (as set out in the Offer Memorandum) was duly passed. QAM hereby confirms that the Extraordinary Resolution Condition set out in the Offer Memorandum has been satisfied. QAM will accept for purchase all of the Bonds validly tendered and there will be no scaling of any tenders of Bonds for purchase.

The Earlybird Purchase Price will be 123.341 per cent. of the the principal amount of the relevant Bonds, based on an Earlybird Purchase Yield of 0.946 per cent. and the Earlybird Spread of 47 basis points. The Late Purchase Price will be 123.154 per cent. of the the principal amount of the relevant Bonds, based on a Late Purchase Yield of 0.976 per cent. and the Late Spread of 50 basis points. QAM will also pay, on the Settlement Date, an Accrued Interest Payment of GBP11.07 in respect of each GBP1,000 outstanding principal amount of Bonds accepted for purchase pursuant to the Tender Offer.

A summary is set out below:

 
 Description of   ISIN/ Common       Aggregate           Aggregate        Aggregate      Early       Late       Outstanding 
   the Bonds          Code       Principal Amount    Principal Amount     Principal       Bird     Purchase   principal amount 
                                   Accepted for      Accepted pursuant      Amount      Purchase    Price         of Bonds 
                                     Purchase            to Tender         Accepted      Price                   following 
                                                       Instructions      pursuant to                             settlement 
                                                     delivered by the       Tender 
                                                           Early         Instructions 
                                                         Deadline        delivered by 
                                                                          the Final 
                                                                         Deadline but 
                                                                          after the 
                                                                            Early 
                                                                           Deadline 
 GBP273,177,575   XS0441698866   GBP204,914,650.70   GBP204,914,650.70      GBPnil      123.341    123.154    GBP68,262,924.30 
   5.253 per      / 0441698866                                                            per        per 
  cent. Bonds                                                                            cent.      cent. 
    due 2027 
 

The expected Settlement Date is 25 April 2017.

HSBC Bank plc (Telephone: [phone]; Attention: Liability Management Group; Email: [e-mail]) is acting as Dealer Manager and Deutsche Bank AG, London Branch (Telephone: [phone]; Attention: Corporate Trust, Debt & Agency Services; Email: [e-mail]) is acting as Tender and Tabulation Agent.

DISCLAIMER

This announcement must be read in conjunction with the Offer Memorandum. This announcement and the Offer Memorandum contain important information which should be read carefully before any decision is made with respect to the Tender Offer. If any Bondholder is in any doubt as to the contents of the Offer Memorandum or the action it should take, it is recommended to seek its own financial advice, including in respect of any tax consequences, from its broker, bank manager, solicitor, accountant or other independent financial, tax or legal adviser. Any individual or Issuer whose Bonds are held on its behalf by a broker, dealer, bank, custodian, trust Issuer or other nominee must contact such entity if it wishes to tender such Bonds pursuant to the Tender Offer. The Dealer Manager will not be responsible to any Bondholders for providing the protections afforded to customers of the Dealer Manager or for advising any other person in connection with the Tender Offer. None of QAM, the Issuer, the Dealer Manager or the Tender Agent makes any recommendation whether Bondholder should tender Bonds pursuant to the Tender Offer. None of the Dealer Manager, the Tender Agent or any of their respective directors, employees or affiliates makes any representation or recommendation whatsoever regarding this announcement, the Offer Memorandum or the Tender Offer, or takes any responsibility for the contents of this announcement or the Offer Memorandum."

- Ends -

Land Securities Group PLC

Investors

Edward Thacker

T: [phone]

[e-mail]

This information is provided by RNS

The company news service from the London Stock Exchange

END

RTEPGUAGCUPMGAG

(END) Dow Jones Newswires

April 21, 2017 11:19 ET (15:19 GMT)