Press release - Paris, October 23, 2017
Danone successfully launches a €1.25 billion hybrid bond issue Early redemption of WhiteWave 5.375% $500 million senior notes
As part of its permanent focus on optimizing its capital structure, Danone announces today that it has successfully launched a hybrid perpetual bond issue worth €1.25 billion, taking advantage of the current exceptionally attractive hybrid market conditions.
The issuance contributes to the diversification of the Company's sources of funding and further strengthens its capital structure, providing balance sheet flexibility for the execution of its strategy.
The net proceeds from the issuance will be used, inter alia , to anticipate refinancing of existing debt.
The issue consists of a euro-denominated perpetual bond offering a first 1.75% coupon, with a first call date on June 23, 2023. The bonds will be fully accounted as equity in accordance with IFRS standards and will receive an equity credit of 50% from Moody's and Standard & Poor's.
The settlement is expected to take place on October 30, 2017 and the bonds will be listed on Euronext Paris.
The prospectus containing the terms and conditions of the notes will be available at the latest on the settlement date on Danone's website at the following address: http://www.danone.com/en/for-you/investors/in...ebt-rating .
Danone also announces that The WhiteWave Foods Company, a fully owned subsidiary of Danone, is exercising today its option to early redeem all of its $500 million senior notes due in 2022, with a coupon at 5.375%.
FORWARD-LOOKING STATEMENTS
This press release contains certain forward-looking statements concerning Danone. In some cases, you can identify these forward-looking statements by forward-looking words, such as "estimate", "expect", "anticipate", "project", "plan", "intend", "believe", "forecast", "foresee", "likely", "may", "should", "goal", "target", "might", "will", "could", "predict", "continue", "convinced" and "confident", the negative or plural of these words and other comparable terminology.
Forward looking statements in this document include, but are not limited to, statements regarding Danone's operation of its business and the future operation, direction and success of Danone's business.
Although Danone believes its expectations are based on reasonable assumptions, these forward-looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those anticipated in these forward-looking statements. For a detailed description of these risks and uncertainties, please refer to the "Risk Factor" section of Danone's Registration Document (the current version of which is available on www.danone.com).
Subject to regulatory requirements, Danone does not undertake to publicly update or revise any of these forward-looking statements. This document does not constitute an offer of, or an invitation or a solicitation to subscribe or purchase Danone securities.
About Danone ( www.danone.com ) Dedicated to bringing health through food to as many people as possible, Danone is a leading global food company built on four business lines: Fresh Dairy Products, Early Life Nutrition, Waters and Medical Nutrition. Through its mission and dual commitment to business success and social progress, the company aims to build a healthier future, thanks to better health, better lives and a better world, for all its stakeholders-its 100,000 employees, consumers, customers, suppliers, shareholders and all the communities with which it engages. Present in over 130 markets, Danone generated sales of approximately €22 billion in 2016. Danone's brand portfolio includes both international brands (Activia, Actimel, Danette, Danonino, Danio, evian, Volvic, Nutrilon/Aptamil, Nutricia) and local brands (Oikos, Prostokvashino, Aqua, Bonafont, Mizone, Blédina, Cow & Gate). Listed on Euronext Paris and on the OTCQX market via an ADR (American Depositary Receipt) program, Danone is a component stock of leading social responsibility indexes including the Dow Jones Sustainability Indexes, Vigeo, the Ethibel Sustainability Index, MSCI Global Sustainability, MSCI Global SRI Indexes and the FTSE4Good Index.
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