Sanlam Limited - Announces successful placing of i
SLM
SLM
Sanlam Limited - Announces successful placing of its subordinated bonds
SANLAM LIMITED
(REGISTRATION NUMBER 1959/001562/06)
JSE share code: SLM
NSX share code: SLA
ISIN number: ZAE000070660
Sanlam announces successful placing of its subordinated bonds
Sanlam Life Insurance Limited, a wholly owned subsidiary of listed financial
services firm Sanlam Limited, announced today the successful placement of R1.99
billion of subordinated bonds at spreads acceptable to Sanlam and the investor
market. The bonds were placed with a broad range of investors and are split
between a 7 and 10-year maturity period. The 7-year bond (R1.16 billion) was
priced at 100 basis points over the comparable 7-year government benchmark
(R201), and the 10-year bond (R0.83 billion) was priced at 110 basis points over
the comparable 10-year government benchmark (R157).
Sanlam Financial Director Flip Rademeyer commented: "The bond issue reflects
another step in Sanlam"s commitment to optimising the Group"s capital structure
and will change the composition of assets backing Sanlam Life"s capital
requirements, thereby reducing the volatility in its statutory capital base. I
am very pleased that the Life business" financial strength and solid credit
rating has resulted in strong interest from a broad range of investors from the
local investment community".
Fitch Ratings (Fitch), the international rating agency, has assigned Sanlam a
National Insurer Financial Strength Rating of AA (zaf) and a National Long-term
Rating of AA- (zaf) with a positive rating outlook. These ratings reflect the
Group"s strong capital position and improving operating performance as well as
it"s strong brand and business position, and good diversification.
The bonds were issued under an auction book build with Citigroup and Sanlam
Capital Markets acting as joint lead managers. The bonds will be listed on the
Bond Exchange of South Africa.
10 August 2005
Sponsor
JPMorgan Equities Limited
Date: 10/08/2006 05:42:22 PM Produced by the JSE SENS Department
Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
