We were pleased to help Chorus complete its first issue of European medium term notes (EMTN) since 2019 and its first ‘any and all’ tender offer - to repurchase existing EMTNs due to mature in 2023.
The new issuance saw €500m of 7 year EMTNs issued on 7 September with an interest rate of 3.625% p.a. Settlement of the tender offer completed a day later, with Chorus repurchasing approximately €290m of existing EMTNs out of proceeds from the new issuance.
Chorus was advised by finance partner Luke Ford and solicitor Paige Thomas.
“This is the first time Chorus has included a tender offer aspect in its EMTN funding,” Luke said.
The structure is designed to help manage refinancing risk and cost, providing the issuer with flexibility to time its entry into the market.
Chorus’ Treasurer Andrew Hopkinson said, “This is the third EMTN Chorus has issued since 2016. We appreciate the continued strong support from European investors, both for the tender offer and the new issue. We have not carried out a tender offer previously, and Chapman Tripp's expertise and guidance allowed us to navigate this complex cross-jurisdiction transaction and focus on achieving a successful refinancing outcome.”
Allens and Freshfields provided international legal support to Chorus, with Clifford Chance representing Citi, HSBC and MUFG as joint lead managers and dealer managers.
