Printer Friendly

HSBC Finance Announces Early Tender Results.

BANKING AND CREDIT NEWS-September 21, 2017-HSBC Finance Announces Early Tender Results

(C)2017 M2 COMMUNICATIONS http://www.m2.com

HSBC Finance Corporation has announced the early tender results of its previously announced offer to purchase for cash up to USD 1,104,230,000 (the "Tender Cap") of its outstanding 6.676% Senior Subordinated Notes due January 15, 2021 (CUSIP: 40429CGD8, 40429CGB2 and U4428DCD4; ISIN: US40429CGD83, US40429CGB28 and USU4428DCD40) (the "Notes"), from holders thereof (each, a "Holder" and collectively, the "Holders"), the company said.

On September 18, 2017, at 5:00 p.m., New York City time (the Early Tender Date"), HSBC Finance had received valid tenders (which tenders were not validly withdrawn or revoked) from Holders of an aggregate of USD 1,555 million in principal amount of the Notes (the "Early Tender Notes"). Withdrawal rights for the Notes expired at 5:00 p.m., New York City time, on September 18, 2017.

Pursuant to the Offer Documents, because the aggregate principal amount of Early Tender Notes validly tendered and not validly withdrawn or revoked exceeds the Tender Cap, HSBC Finance will accept for purchase the Early Tender Notes on a prorated basis in the proportion of approximately 71 percent of the principal amount of the Early Tender Notes (the "Accepted Notes"). HSBC Finance will accept for purchase the aggregate principal amount of Early Tender Notes tendered by a Holder multiplied by the proration rate and then rounded down to the nearest USD 1,000 increment.

The aggregate consideration payable under the Offer for the Accepted Notes is approximately USD 1,268 million, which represents a total consideration of USD 1,148.41 per USD 1,000 principal amount of the Accepted Notes, in each case, excluding any accrued and unpaid interest on the Accepted Notes. The Accepted Notes represent approximately 38 percent of the principal amount outstanding of Notes as of September 18, 2017.

The Early Settlement Date will be on September 20, 2017. Because the Offer was fully subscribed as of the Early Tender Date, HSBC Finance will not accept for purchase any Notes not already purchased on the Early Settlement Date. Any Notes tendered pursuant to the Offer but not accepted for purchase by HSBC Finance on the Early Settlement Date will be promptly returned to Holders.

Global Bondholder Services Corporation is acting as the depositary and as the information agent for the Offer. HSBC Securities (USA) Inc. is acting as Dealer Manager for the Offer.

HSBC Finance Corporation, through its subsidiaries, owns and services a portfolio of residential real estate loans. HSBC Finance Corporation is a subsidiary of HSBC North America Holdings Inc.

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2017 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2017 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:M2 Banking & Credit News (BCN)
Date:Sep 21, 2017
Words:449
Previous Article:Syncsort Elevates Data Lake Trust with Delivery of New Trillium Quality for Big Data.
Next Article:Angel Island Capital Appoints New Chief Executive Officer.

Terms of use | Privacy policy | Copyright © 2019 Farlex, Inc. | Feedback | For webmasters