Rio Tinto announced that it intends to reduce gross debt through the early repayment of some near term maturing debt.
Rio Tinto Finance (USA) has accepted for purchase a total of $1.350billion in debt pursuant to its Any and All Offer, which commenced on 21 April 2016 and expired on Wednesday this month.
“$339 million in aggregate principal amount of its 2.000 per cent Notes due 2017 will be purchased at a price of $1,006.91 per $1,000 principal amount of notes. $1.020 billion in aggregate principal amount of its 1.625 per cent Notes due 2017 will be purchased at a price of $1,005.85 per $1,000 principal amount of notes,” the company said in a press release.
“The above amounts exclude $2 million of Any and All Securities that remain subject to the guaranteed delivery procedures described in the Offer to Purchase. The Any and All Securities purchased will be retired and cancelled and no longer remain outstanding.”
According to the giant miner, the settlement date for the Any and All Offer will be 29 April 2016 (or 3 May 2016 in the case of Any and All Securities delivered pursuant to the guaranteed delivery procedures).
The Lead Dealer Managers for the Any and All Offer are Merrill Lynch, Pierce, Fenner & Smith Incorporated and RBC Capital Markets, LLC. The Co-Dealer Managers are BMO Capital Markets Corp., CIBC World Markets Corp., nabSecurities, LLC and TD Securities (USA) LLC.