| Thu 22 Apr 2010, 7:42 | | ANG - Anglogold Ashanti announces pricing of $1 Billion issue of 10-year 30- |
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ANG
ANANO
ANG - Anglogold Ashanti announces pricing of $1 Billion issue of 10-year, 30-
year notes
ANGLOGOLD ASHANTI ANNOUNCES PRICING OF $1 BILLION ISSUE OF 10-YEAR, 30-YEAR
NOTES
AngloGold Ashanti Limited
Incorporated in the Republic of South Africa
Registration Number: 1944/017354/06)
ISIN Number:ZAE000043485
JSE Share Code: ANG
("AngloGold Ashanti/Company")
NOT FOR RELEASE OR DISTRIBUTION IN OR INTO THE UNITED STATES
ANGLOGOLD ASHANTI ANNOUNCES PRICING OF $1 BILLION ISSUE OF 10-YEAR, 30-YEAR
NOTES
(JOHANNESBURG) --- AngloGold Ashanti Limited ("AngloGold Ashanti") announces
the pricing of an offering of $1 billion of 10-year and 30-year unsecured notes,
providing the company with financing to help meet its strategic objectives and
to extend the tenor of debt on its balance sheet.
The offering consisted of $700 million of 10-year unsecured notes at a coupon
of 5.375%, a premium of 165 basis points over 10 year Treasuries and $300
million of 30-year unsecured notes at a coupon of 6.50%, a premium of 200 basis
points over Treasuries. The issue was significantly oversubscribed. Subject to
customary conditions, the offering is expected to close on April 28, 2010.
"This is the first 30 year investment grade issue by a South African issuer
and speaks volumes for the confidence that international investors have both in
AngloGold Ashanti and corporate South Africa.`` Mark Lynam, senior vice
president of AngloGold Ashanti`s treasury & finance, said.
The notes were issued by AngloGold Ashanti Holdings plc, a wholly owned
subsidiary of AngloGold Ashanti, and are fully and unconditionally guaranteed by
AngloGold Ashanti.
AngloGold Ashanti estimates that the net proceeds from the offering will be
approximately $983 million, after deducting discounts and estimated expenses.
AngloGold Ashanti intends to use the net proceeds of this offering to repay
certain indebtedness and for general corporate purposes, including to fund
capital expenditure and the development of the AngloGold Ashanti`s projects
pipeline. Pending such application, AngloGold Ashanti may temporarily repay
indebtedness under its credit facilities or place the funds in short-term
deposits.
Barclays Capital and Goldman, Sachs & Co. acted as active book-runners for the
offering and Royal Bank of Canada and Standard Chartered Bank were passive book-
runners. Separately, AngloGold Ashanti announced on April 20 that it had secured
a four-year unsecured revolving credit facility of $1 billion from its banking
syndicate.
This announcement is not an offer of securities for sale in the United
States. Securities may not be offered or sold in the United States unless they
are registered or are exempt from registration. AngloGold Ashanti has filed a
registration statement in the United States under the Securities Act of 1933, as
amended, in connection with the offer and sale of the securities described
herein and intends to register the securities described herein for offer and
sale in the United States. Any public offering of securities to be made in the
United States will be made by means of a prospectus and a related prospectus
supplement that forms part of this registration statement and that will contain
detailed information about AngloGold Ashanti and its management, as well as
financial statements. Such prospectus and the related prospectus supplement may
be obtained from AngloGold Ashanti at 76 Jeppe Street, Newtown, Johannesburg,
South Africa.
STABILIZATION/FSA
This announcement is directed only at persons (i) who are outside the United
Kingdom or (ii) who have professional experience in matters relating to
investments falling within Article 19(5) of the Financial Services and Markets
Act 2000 (Financial Promotion) Order 2005, as amended (the "Order") or (iii) who
fall within Article 49(2)(a) to (d) of the Order or (iv) 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.
ENDS
JOHANNESBURG
22 April 2010
Contacts
Tel: Mobile:
Alan Fine (Media) +27(0)116376383 +27(0)833250757
E-mail: fine@AngloGoldAshanti.com
Stewart Bailey (Investors) +1 212 836 4303 +1 646 338 4337
or +27 82 330 9628 E-mail: sbailey@anglogoldashanti.com
Certain statements made in this communication, including, without limitation,
those concerning AngloGold Ashanti`s strategy to reduce its gold hedging
position including the extent and effects of the reduction, the economic outlook
for the gold mining industry, expectations regarding gold prices, production,
cash costs and other operating results, growth prospects and outlook of
AngloGold Ashanti`s operations, individually or in the aggregate, including the
completion and commencement of commercial operations of certain of AngloGold
Ashanti`s exploration and production projects, the resumption of production at
AngloGold Ashanti`s mines in Ghana, the completion of announced mergers and
acquisitions transactions, AngloGold Ashanti`s liquidity and capital resources,
and expenditure and the outcome and consequences of any litigation proceedings
or environmental issues, contain certain forward-looking statements regarding
AngloGold Ashanti`s operations, economic performance and financial condition.
Although AngloGold Ashanti believes that the expectations reflected in such
forward-looking statements are reasonable, no assurance can be given that such
expectations will prove to have been correct. Accordingly, results could differ
materially from those set out in the forward-looking statements as a result of,
among other factors, changes in economic and market conditions, success of
business and operating initiatives, changes in the regulatory environment and
other government actions including environmental approvals and actions,
fluctuations in gold prices and exchange rates, and business and operational
risk management. For a discussion of certain of these factors, refer to
AngloGold Ashanti`s annual report for the year ended 31 December 2009, which was
distributed to shareholders on 30 March 2010. The company`s annual report on
Form 20-F, was filed with the Securities and Exchange Commission in the United
States on April 19, 2010. AngloGold Ashanti undertakes no obligation to update
publicly or release any revisions to these forward-looking statements to reflect
events or circumstances after today`s date or to reflect the occurrence of
unanticipated events. All subsequent written or oral forward-looking statements
attributable to AngloGold Ashanti or any person acting on its behalf are
qualified by the cautionary statements herein.
AngloGold Ashanti posts information that is important to investors on the main
page of its website at www.anglogoldashanti.com and under the "Investors" tab on
the main page. This information is updated regularly. Investors should visit
this website to obtain important information about AngloGold Ashanti.
Date: 22/04/2010 07:42:02 Produced by the JSE SENS Department.
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