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16 June 2014
SUCCESSFUL HYBRID BOND LIABILITY MANAGEMENT OF SUEZ ENVIRONNEMENT: ISSUE OF
EUR500 MILLION AND BUYBACK OF EUR300 MILLION BONDS ISSUED IN 2010
SUEZ ENVIRONNEMENT Company successfully issued a second hybrid bond today, for
an amount of EUR500 million.
The new bonds, accounted for as 100% equity under IFRS standards and as 50%
equity by the rating agency Moody's, have an initial fixed coupon of 3.0 per
cent, which will be revised for the first time six years after issuance on the
basis of the 5-year swap rate, and then, every five years.
This transaction, which has been printed in favorable market conditions, is part
of a liability management exercise: the funds raised are partly used for a
buy-back of hybrid bonds issued in September 2010 for an amount of EUR300
million. By doing so, the Group refinances the existing bonds at attractive
market conditions while optimizing the company's balance sheet structure and
diversifying its financing sources.
After this liability management exercise, the outstanding hybrid bonds issued by
SUEZ ENVIRONNEMENT Company amount to EUR950 million.
Olivier Jacquier, Directeur Financier Adjoint of SUEZ ENVIRONNEMENT Company,
"The terms of this new issue - which has been warmly welcomed by investors, as
shown by the demand of more than EUR4bn - further confirms our good credit
This transaction also demonstrates one more time SUEZ ENVIRONNEMENT Company's
ability to manage its debt in a dynamic manner and to optimize its financing
costs, while keeping a solid balance sheet."
The transaction was conducted jointly by Deutsche Bank, J.P. Morgan, Barclays,
BNP Paribas, Citibank, Commerzbank, Natixis, Société Générale and
Following approval by the Autorité des marchés financiers, the prospectus of
the new issue will be available on the Group's website
Natural resources are not infinite. Each day, SUEZ ENVIRONNEMENT (Paris: SEV,
Brussels: SEVB) and its subsidiaries deal with the challenge of protecting
resources by providing innovative solutions to industries and to millions of
people. SUEZ ENVIRONNEMENT supplies drinking water to 92 million people,
provides waste water treatment services for 65 million people and collects the
waste produced by 52 million people. SUEZ ENVIRONNEMENT has 79,219 employees
and, has a presence in five continents. In 2013, SUEZ ENVIRONNEMENT posted
revenues of EUR14,6 billion.