OLD MUTUAL CAPITAL FUNDING LP:
Old Mutual plc
ISIN : OLOML
Share code : GB0007389926
NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO US PERSONS
Old Mutual plc
Old Mutual Capital Funding LP: Issue of Preferred Securities
Today Old Mutual plc announces the successful launch of an issue of $750m of
Guaranteed, Cumulative Perpetual Preferred securities, yielding 8% at issue, as
part of its on-going financing programme.
The issue will strengthen the capital base of the Group, reducing dependence on
short-term debt. Through this issue the Company continues to diversify its
sources of funding and its success is a result of the increasing acceptance of
the Old Mutual name and credit among investors in the credit financing markets.
The proceeds will initially be used to repay existing short term debt.
The securities will be issued by a wholly owned subsidiary of Old Mutual Plc,
Old Mutual Capital Funding L.P. of Jersey. The issue has been Joint lead
managed by BNP Paribas; HSBC; and Merrill Lynch International.
The size of the issue of Cumulative Preferred Securities was increased
substantially during the course of the offer because of the strength of support
from both retail and institutional investors primarily in Europe, South Africa
and Asia. The notes are not for issue in the USA and certain other territories.
Julian Roberts, Group Finance Director said "Having recently met many new
investors in leading global capital market centres, we have been impressed by
the enthusiasm and appetite for Old Mutual. This successful new issue will
significantly strengthen the capital base of Old Mutual and enhance our
financial flexibility going forward.
Enquiries:
Old Mutual
James Poole, Corporate Affairs Director
+44 20 7569 0100
Don Hope, Group Treasurer
Notes of Editors:
On May 2nd 2003 the option closed under which investors could put back bonds
issued under the $650 million 3.625% Guaranteed Convertible bond, redeemable May
2005. Only US $13.7 million bonds were elected for early redemption and
cancellation.
Date: 12/05/2003 04:42:26 PM Supplied by www.sharenet.co.za
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