Press Releases
07/05/2008
International Power successfully places €650 Million Senior Convertible Bond Offering
(London – 7 May 2008) Following the closing of the bookbuild period, International Power announces the successful placement of its €650 million (approx. £513 million) offering of Senior Convertible Bonds (the “Convertible Bonds”). The offering size, initially announced to be up to €550 million, was increased by €100 million on strong demand from equity-linked investors.
The exchange price has been set at £5.7222 per ordinary share of International Power based on a reference price in Sterling of £4.2387. This represents an exchange premium of 35% above the volume weighted average price during the bookbuild period. The exchange rate implied by the above exchange price is £1 : €1.2680. The exchange price is to be fully adjusted for the payment by International Power of the dividend to be paid on or about 26 June 2008 in respect of the fiscal year ended 31 December 2007.
The issue price of the Convertible Bonds is 100%. The coupon has been set at 4.75% per annum payable semi-annually in arrears. The Convertible Bonds will be redeemed at their principal amount on the maturity date (which is expected to be on or about 5 June 2015), unless previously redeemed, converted or purchased and cancelled.
Deutsche Bank AG, London Branch and Morgan Stanley & Co International plc are acting as joint bookrunners and joint lead managers.
International Power has granted Deutsche Bank AG, London Branch and Morgan Stanley & Co International plc an over-allotment option, exercisable on or before the closing date of the transaction, to purchase up to an additional €50 million (approx. £39 million) in principal amount of the Convertible Bonds. If exercised, the over-allotment option would take the total offering size to €700 million (approx £552 million).
Settlement of the Convertible Bonds is expected to take place on or about 5 June 2008. Application will be made to admit the Convertible Bonds to trading on the regulated market of the London Stock Exchange plc and to list the Convertible Bonds on the Official List of the UK Listing Authority.
Disclaimer
This announcement is for information purposes only, is not an offering memorandum or prospectus and should not be treated as offering material of any sort. This announcement constitutes an advertisement for the purposes of Article 15 of Directive 2003/71/EC. A prospectus in relation to the admission to trading of the Convertible Bonds on the regulated market of the London Stock Exchange is expected to be published in due course and, when published, will be available from the registered office of International Power plc. The distribution of this announcement and the offer and sale of the Convertible Bonds in certain jurisdictions may be restricted by law. Any persons reading this announcement should inform themselves of and observe any such restrictions. Any such offer will be made solely by means of a prospectus or offering memorandum to be published in due course and any purchase of Convertible Bonds should be made on the basis of the information contained in such prospectus or offering memorandum.
This announcement is not an offer of the securities to which it relates for sale in the United States. Such securities are not, nor will they be, registered under the U.S. Securities Act of 1933, as amended. This press release and the information contained herein may not be distributed or sent into the United States, or in any other jurisdiction in which offers or sales of the securities described herein would be prohibited by applicable laws and should not be distributed to publications with a general circulation in the United States. Such securities may not be offered or sold in the United States absent such registration or an applicable exemption from registration. No public offering will be made in the United States.
This announcement is directed only at persons who (i) are outside the United Kingdom, (ii) have professional experience in matters relating to investments or (iii) are persons falling within Article 49(2)(a) to (d) (“high net worth companies, unincorporated associations etc”) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, or to whom this announcement may otherwise be directed without contravention of Section 21 of the Financial Services and Markets Act 2000 (all such persons together being referred to as “Relevant Persons”). This announcement is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons. Any investment or investment activity to which this announcement relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.
In connection with the offering, Morgan Stanley & Co International plc (the “Stabilising Manager”), or any person acting for it, may over-allot or effect transactions with a view to supporting the market price of the Convertible Bonds at a level higher than that which might otherwise prevail for a limited period. However, there is no obligation on the Stabilising Manager (or any person acting for it) to do this. Such stabilising, if commenced, may be discontinued at any time and must be brought to an end after a limited period. Such stabilising shall be in compliance with all applicable laws, regulations and rules. The stabilisation period is expected to start on 7 May 2008, the date of this announcement and is expected to end no later than 5 June 2008 (the proposed settlement date of the Convertible Bonds).
For further information please contact:
International Power
| Investor Contact: | Media Contact: |
|
Aarti Singhal |
Beth Akers |
| Telephone: +44 (0)20 7320 8681 | Telephone: +44 (0)20 7320 8622 |
About International Power
International Power plc is a leading independent electricity generating company with 31,191 MW gross (19,001 MW net) in operation and 2,971 MW gross (875 MW net) under construction. International Power has power plants in operation or under construction in Australia, the United States of America, the United Kingdom, the Czech Republic, France, Germany, Italy, the Netherlands, Portugal, Spain, Turkey, Bahrain, Oman, Qatar, Saudi Arabia, the UAE, Indonesia, Pakistan, Puerto Rico and Thailand. International Power is listed on the London Stock Exchange with ticker symbol IPR. Company website: www.ipplc.com
