ORLEN Capital AB issued eurobonds (“Eurobonds”) on 30th June 2014, guaranteed by PKN ORLEN S.A. The value of issue amounts to EUR 500 m, maturity date of Eurobonds is 30 June 2021 and interest paid annually amounts to 2,5%. Eurobonds were assigned with credit ratings: from Fitch Ratings Ltd. at the level of BBB- and from Moody’s Investor Service at the level of Baa3.
The financial resources gained from the issue were re-borrowed on 2nd July 2014 to PKN ORLEN S.A.
Joint Lead Managers of the Eurobonds issue are: Banco Santander S.A., BNP Paribas, HSBC Bank plc, UniCredit Bank AG, Mitsubishi UFJ Securities International plc and The Royal Bank of Scotland plc, and Citibank, N.A. London Branch acts as fiscal agent and principal paying agent.
In relation to the above on 30 June 2014 PKN ORLEN signed a guarantee agreement (“Guarantee”) to secure the forthcoming obligations of ORLEN Capital AB connected with Eurobonds issue.
Financial conditions of the Guarantee are as follows:
- the Gauarantee will cover the total value of the issue but not higher than EUR 1 000 000 000,
- the Guarantee is valid by the date of Eurobonds maturity, and
- the payment for Guarantee will be included in the interest rates of the borrowing to PKN ORLEN S.A.