NETHERLANDS: Heineken swaps Asia Pacific Breweries loan for US note issuance
Heineken will use the notes' funds to contribute to its purchase of Asia Pacific Breweries
Heineken has lined up four tranches of notes totalling US$3.25bn, which will be used to fund its takeover of Asia Pacific Breweries (APB).
The company, which gained clearance from JV partner Fraser & Neave to buy its stake in APB last week, said earlier today that the US notes will allow it to cancel its EUR2.5bn (US$3.23bn) bridge loan “in its entirety”. The loan had been lined up to fund the APB buy.
The new issue comprises:
- $500m of three-year notes at a coupon of 0.80%,
- $1.25bn of five-year notes at a coupon of 1.40%,
- $1bn of 10.5-year notes at a coupon of 2.75%, and
- $500m of 30-year notes at a coupon of 4.00%.
Heineken expects its purchase of F&N's holding in APB, for around US$4.57bn, to complete next month.
Heineken last week announced plans to build a 1.5m-litre capacity brewery in Ethiopia, which, with the second-largest population in Africa, is a major focus for international brewers....
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