Hungary Tender Offer Final Results (4285M)

TIDM63DW

RNS Number : 4285M

Hungary

11 January 2023

NOT FOR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN ANY JURISDICTION WHERE SUCH DISTRIBUTION WOULD BE UNLAWFUL

January 11, 2023

HUNGARY ANNOUNCES FINAL ACCEPTANCE AMOUNT, SERIES ACCEPTANCE AMOUNTS AND PRICING FOR THE PURPOSES OF ITS TER OFFERS FOR EACH OF ITS OUTSTANDING U.S.$2,000,000,000 5.750% NOTES DUE 2023 (OF WHICH U.S.$1,151,760,000 IS OUTSTANDING) AND U.S.$2,000,000,000 5.375% NOTES DUE 2024 (OF WHICH U.S.$1,642,972,000 IS OUTSTANDING).

Further to its announcements on January 4, 2023 and January 11, 2023, Hungary (the "Offeror"), now announces the final results and pricing for the purposes of its invitations to eligible holders of its outstanding (a) U.S.$2,000,000,000 5.750% Notes due 2023 (of which U.S.$1,151,760,000 is outstanding) (the "November 2023 Notes") (ISIN: US445545AJ57 / CUSIP: 445545AJ5) and (b) U.S.$2,000,000,000 5.375% Notes due 2024 (of which U.S.$1,642,972,000 is outstanding) (the "March 2024 Notes") (ISIN: US445545AL04 / CUSIP: 445545AL0) (collectively, the "Notes" and each a "Series") to tender their Notes for purchase by the Offeror for cash (each an "Offer" and, together, the "Offers").

The Offers were made on the terms and subject to the conditions set out in the Offeror's Tender Offer Memorandum dated January 4, 2023 (the "Tender Offer Memorandum").

Copies of the Tender Offer Memorandum are available from the Information and Tender Agent as set out below. Capitalized terms used in this announcement but not defined have the meanings given to them in the Tender Offer Memorandum.

Final Results

The Offeror intends to accept for purchase U.S.$1,000,000,000 in aggregate nominal amount of the Notes (being the Final Acceptance Amount), subject to satisfaction or waiver of the New Financing Condition on or prior to the Settlement Date.

In respect of the November 2023 Notes, the Offeror now announces that it has determined that the November 2023 Notes Clearing Spread will be 20 basis points. The Series Acceptance Amount in relation to the November 2023 Notes will be U.S.$380,300,000 and the November 2023 Notes Purchase Price will be U.S.$1,006.47 per U.S.$1,000 in principal amount of the November 2023 Notes. The Offeror further announces that it has determined that it will accept for purchase November 2023 Notes tendered pursuant to valid Non-Competitive Tender Instructions on a pro rata basis, with a Scaling Factor of approximately 83.3627% . The Offeror will not accept for purchase any November 2023 Notes tendered pursuant to Competitive Tender Instructions . The Offeror will also pay Accrued Interest in respect of the November 2023 Notes accepted for purchase approximately equal to U.S.$8.15 per U.S.$1,000 in principal amount of the November 2023 Notes.

In respect of the March 2024 Notes, the Offeror now announces that it has determined that the March 2024 Notes Clearing Spread will be 20 basis points. The Series Acceptance Amount in relation to the March 2024 Notes will be U.S.$619,700,000 and the March 2024 Notes Purchase Price will be U.S.$1,005.74 per U.S.$1,000 in principal amount of the March 2024 Notes. The Offeror further announces that it has determined that it will accept for purchase March 2024 Notes tendered pursuant to valid Non-Competitive Tender Instructions on a pro rata basis, with a Scaling Factor of approximately 83.3637% . The Offeror will not accept for purchase any March 2024 Notes tendered pursuant to Competitive Tender Instructions . The Offeror will also pay Accrued Interest in respect of the March 2024 Notes accepted for purchase approximately equal to U.S.$16.13 per U.S.$1,000 in principal amount of the March 2024 Notes.

A summary of the final results and pricing of the Notes appears below:

 
                           Benchmark                                     Series 
  Series       Clearing     Security     Purchase      Purchase           Acceptance        Accrued           Scaling 
                Spread      Rate          Yield         Price             Amount             Interest          Factor 
                                                       U.S.$1,006.47 
                                                        (per                                U.S.$8.15 
                                                        U.S.$1,000                           (per U.S.$1,000 
November       20 basis    4.762         4.962          in principal                         in principal 
 2023 Notes     points      per cent.     per cent.     amount)          U.S.$380,300,000    amount)          83.3627% 
------------  ----------  ------------  ------------  ----------------  -----------------  -----------------  -------- 
                                                       U.S.$1,005.74 
                                                        (per                                U.S.$16.13 
                                                        U.S.$1,000                           (per U.S.$1,000 
March          20 basis    4.670         4.870          in principal                         in principal 
 2024 Notes     points      per cent.     per cent.     amount)          U.S.$619,700,000    amount)          83.3637% 
              ----------  ------------  ------------  ----------------  -----------------  -----------------  -------- 
 

The expected Settlement Date for the Offers is January 13, 2023.

BNP Paribas, Citigroup Global Markets Europe AG, Deutsche Bank Aktiengesellschaft, Goldman Sachs Bank Europe SE, and J.P. Morgan SE are acting as Dealer Managers and Kroll Issuer Services Limited is acting as Information and Tender Agent.

 
                 BNP Paribas                         Citigroup Global Markets Europe 
          16, boulevard des Italiens                                AG 
                 75009 Paris                                  Reuterweg 16, 
                    France                           Frankfurt am Main, DE-HE 60323, 
         Telephone: [phone]                            Germany 
       Attention: Liability Management                 Telephone: [phone]; 
                    Group                       Email: [e-mail] 
  Email: [e-mail]        ; Attention: Liability Management 
                                                                  Group 
      Deutsche Bank Aktiengesellschaft                  Goldman Sachs Bank Europe 
            Mainzer Landstr. 11-17                                  SE 
           60329 Frankfurt am Main                              Marienturm 
                   Germany                                  Taunusanlage 9-10 
            Tel: [phone]                       D-60329 Frankfurt am Main 
       Attention: Liability Management                           Germany 
                    Group 
                                                          Tel.: [phone] 
                                                   Email: [e-mail] 
                                                     Attention: Liability Management 
                                                                  Group 
                                      J.P. Morgan SE 
                                  Taunustor 1 (TaunusTurm) 
                                  60310 Frankfurt am Main 
                                          Germany 
                                   Tel: [phone] 
                              Email: [e-mail] 
                              Attention: Liability Management 
 
                             THE INFORMATION AND TER AGENT 
                               Kroll Issuer Services Limited 
                                         The Shard 
                                  32 London Bridge Street 
                                       London SE1 9SG 
                                       United Kingdom 
                               Telephone: [phone] 
                                Attention: Illia Vyshenskyi 
                                Email: [e-mail] 
                        Website: https://deals.is.kroll.com/hungary 
 

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 respect to the Offers. If you are in any doubt as to the contents of this announcement or the Tender Offer Memorandum or the action you should take, you are recommended to seek your own financial and legal advice, including as to any tax consequences, immediately from your stockbroker, bank manager, solicitor, accountant or other independent financial or legal adviser. Any individual or company whose Notes are held on its behalf by a broker, dealer, bank, custodian, trust company or other nominee or intermediary must contact such entity if it wishes to participate in the Offers. None of the Dealer Managers, the Information and Tender Agent or the Offeror makes any recommendation as to whether Noteholders should tender Notes for purchase pursuant to the Offers.

The Tender Offer Memorandum does not constitute an invitation to participate in the Offers in any jurisdiction in which, or to any person to or from whom, it is unlawful to make such invitation or for there to be such participation under applicable securities laws. The distribution of the Tender Offer Memorandum in certain jurisdictions may be restricted by law. Persons into whose possession the Tender Offer Memorandum comes are required by each of the Offeror, the Dealer Managers and the Information and Tender Agent to inform themselves about and to observe any such restrictions.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

RTEFLFLVLAILLIV

(END) Dow Jones Newswires

January 11, 2023 08:23 ET (13:23 GMT)