Announcement by Embraer S.A. of Consideration for Cash Tender Offer for Any and All Outstanding 5.400% Senior Unsecured Guaranteed Notes due 2027
Embraer S.A. (NYSE: ERJ) has announced the consideration details for its cash tender offer to purchase any and all outstanding 5.400% senior unsecured guaranteed notes due 2027. The notes, originally issued by Embraer Netherlands Finance B.V., have an outstanding principal amount of US$522,035,000.
The Any and All Total Consideration is set at US$1,012.18 per US$1,000 principal amount of notes, calculated based on a Fixed Spread of 45 bps plus the reference yield of 4.292%. The tender offer expires at 5:00 p.m., New York City time, on February 11, 2025, with settlement expected by February 14, 2025.
Holders who validly tender their notes will receive the total consideration plus accrued interest. The offer is subject to certain conditions, including a Financing Condition, and Embraer reserves the right to amend or terminate the offer at its discretion.
Embraer S.A. (NYSE: ERJ) ha annunciato i dettagli della considerazione per la sua offerta di acquisto in contante di tutte le note garantite senior non garantite con un tasso del 5,400%, in scadenza nel 2027. Le note, originariamente emesse da Embraer Netherlands Finance B.V., hanno un importo principale in circolazione di US$522.035.000.
La considerazione totale per qualsiasi offerta è fissata a US$1.012,18 per US$1.000 di importo principale delle note, calcolata sulla base di uno spread fisso di 45 punti base in aggiunta al rendimento di riferimento del 4,292%. L'offerta scade alle 17:00, ora di New York, l'11 febbraio 2025, con regolamento previsto per il 14 febbraio 2025.
I detentori che presentano validamente le loro note riceveranno la considerazione totale più gli interessi maturati. L'offerta è soggetta a determinate condizioni, inclusa una Condizione di finanziamento, e Embraer si riserva il diritto di modificare o terminare l'offerta a sua discrezione.
Embraer S.A. (NYSE: ERJ) ha anunciado los detalles de la consideración para su oferta de compra en efectivo de todas las notas garantizadas senior no garantizadas con un interés del 5,400% que vencen en 2027. Las notas, emitidas originalmente por Embraer Netherlands Finance B.V., tienen un monto principal pendiente de US$522,035,000.
La Consideración Total por la oferta es de US$1,012.18 por US$1,000 de monto principal de las notas, calculada en base a un diferencial fijo de 45 puntos básicos más el rendimiento de referencia del 4.292%. La oferta de compra expira a las 5:00 p.m., hora de Nueva York, el 11 de febrero de 2025, con liquidación prevista para el 14 de febrero de 2025.
Los titulares que presenten válidamente sus notas recibirán la consideración total más el interés acumulado. La oferta está sujeta a ciertas condiciones, incluida una Condición de Financiamiento, y Embraer se reserva el derecho de modificar o terminar la oferta a su discreción.
Embraer S.A. (NYSE: ERJ)는 2027년에 만료되는 모든 기존 5.400% 선순위 무보증 보증 채권의 현금 입찰 제안에 대한 고려 세부사항을 발표했습니다. 이 채권은 Embraer Netherlands Finance B.V.에 의해 원래 발행되었으며, 현재 남아 있는 원금 금액은 US$522,035,000입니다.
모든 제안의 총 고려액은 US$1,012.18 per US$1,000의 채권 원금 기준으로 설정되며, 45bps의 고정 스프레드에 4.292%의 기준 수익률이 더해져 계산됩니다. 입찰 제안은 2025년 2월 11일 오후 5시(뉴욕 시간)에 만료되며, 결제는 2025년 2월 14일로 예상됩니다.
유효하게 채권을 제출한 보유자는 총 고려액과 발생된 이자를 받게 됩니다. 이 제안은 금융 조건을 포함한 특정 조건에 따라 진행되며, Embraer는 자의적으로 제안을 수정하거나 종료할 권리를 보유합니다.
Embraer S.A. (NYSE: ERJ) a annoncé les détails de la contrepartie pour son offre de rachat en espèces visant à acquérir toutes les obligations garanties seniors non sécurisées à un taux de 5,400% arrivant à échéance en 2027. Les obligations, émises à l'origine par Embraer Netherlands Finance B.V., ont un montant principal en circulation de 522,035,000 US$.
La contrepartie totale de l'offre s'élève à 1,012.18 US$ par 1,000 US$ de montant principal des obligations, calculée sur la base d'un spread fixe de 45 points de base plus le rendement de référence de 4,292%. L'offre expire à 17h00, heure de New York, le 11 février 2025, avec un règlement prévu le 14 février 2025.
Les détenteurs qui soumettent valablement leurs obligations recevront la contrepartie totale plus les intérêts courus. L'offre est soumise à certaines conditions, y compris une condition de financement, et Embraer se réserve le droit de modifier ou de mettre fin à l'offre à sa discrétion.
Embraer S.A. (NYSE: ERJ) hat die Details zur Gegenleistung für sein Barangebot zur Übernahme aller ausstehenden 5,400% Senior Unsecured Guaranteed Notes mit Fälligkeit 2027 bekannt gegeben. Die Anleihen wurden ursprünglich von Embraer Netherlands Finance B.V. ausgegeben und haben einen ausstehenden Hauptbetrag von US$522.035.000.
Die Gesamtkonzeption für das Angebot beträgt US$1.012,18 pro US$1.000 Hauptbetrag der Anleihen und wird auf Grundlage eines festen Spreads von 45 Basispunkten zuzüglich der Referenzrendite von 4,292% berechnet. Das Angebot endet am 11. Februar 2025 um 17:00 Uhr New Yorker Zeit, und die Abwicklung wird am 14. Februar 2025 erwartet.
Inhaber, die ihre Anleihen gültig anbieten, erhalten die Gesamtkonzeption zuzüglich aufgelaufener Zinsen. Das Angebot unterliegt bestimmten Bedingungen, einschließlich einer Finanzierungsbedingung, und Embraer behält sich das Recht vor, das Angebot nach eigenem Ermessen zu ändern oder zu beenden.
- Company offering to repurchase debt before maturity, potentially indicating strong cash position
- Premium offering price of $1,012.18 per $1,000 of notes provides value to bondholders
- None.
Insights
Embraer's tender offer for its
The pricing structure, offering a 45 basis point spread over the reference U.S. Treasury yield of
The tender offer's timing is particularly noteworthy given the current interest rate environment. With the 2027 Notes carrying a
Three critical aspects deserve attention:
- The modest premium over par value indicates confidence in market reception while maintaining cost efficiency
- The "any and all" structure demonstrates Embraer's commitment to comprehensive debt portfolio optimization
- The rapid settlement timeline (by February 14) suggests strong financial readiness and well-prepared execution strategy
This proactive liability management exercise could potentially lead to reduced interest expenses and an improved debt maturity profile, strengthening Embraer's financial flexibility for future strategic initiatives.
SÃO PAULO, Feb. 11, 2025 /PRNewswire/ -- Embraer S.A. ("Embraer") (NYSE: ERJ) announces the consideration to purchase for cash any and all of the outstanding
The Tender Offer is being made pursuant to the terms and subject to the conditions set forth in the offer to purchase dated February 5, 2025 (the "Offer to Purchase") relating to the 2027 Notes and the accompanying notice of guaranteed delivery.
The following table sets forth certain information relating to the Tender Offer, including the applicable consideration (the "Any and All Total Consideration") payable for the 2027 Notes accepted for purchase in the Tender Offer for the 2027 Notes validly tendered and accepted in the Tender Offer and the offer yield for the Notes as calculated at 11:00 a.m. (
Title of Security | CUSIP / ISIN | Principal Amount Outstanding | Reference Treasury Security | Bloomberg Reference Page | Fixed Spread (bps) |
Reference Yield |
Any and All Total Consideration (1) |
29082H AB8 / US29082HA B87 |
|
|
FIT1 |
45 bps
|
4.292 %
|
|
__________________
(1) Per
Information on the Tender Offer
The Tender Offer will expire at 5:00 p.m.,
The Any and All Total Consideration payable for the 2027 Notes accepted for purchase in the Tender Offer was determined in the manner described in the Offer to Purchase by reference to the applicable Fixed Spread set forth in the table above plus the yield calculated to the maturity date, based on the bid-side price of the Reference
Validly tendered 2027 Notes may be withdrawn in accordance with the terms of the Tender Offer, at any time prior to 5:00 p.m. (
Holders of 2027 Notes who (i) validly tender and do not validly withdraw their 2027 Notes on or prior to the Any and All Expiration Date or (ii) deliver a properly completed and duly executed Notice of Guaranteed Delivery (as defined in the Offer to Purchase) and follow the Guaranteed Delivery Procedures (as defined in the Offer to Purchase) on or prior to the Any and All Expiration Date, and tender their 2027 Notes on or prior to 5:00 p.m. (
In addition to the Any and All Consideration, holders whose 2027 Notes are tendered and accepted for purchase in the Tender Offer will also receive Accrued Interest (as defined in the Offer to Purchase). For the avoidance of doubt, Accrued Interest on 2027 Notes tendered using the Guaranteed Delivery Procedures will cease to accrue on the Any and All Settlement Date.
Completion of the Tender Offer is conditioned on the satisfaction or waiver of certain conditions described in the Offer to Purchase, including the Financing Condition (as described in the Offer to Purchase). Embraer has the right, in its sole discretion, to amend or terminate the Tender Offer at any time.
For More Information
The terms and conditions of the Tender Offer are described in the Offer to Purchase. Copies of the Offer to Purchase are available at www.dfking.com/embraer and by request to D.F. King & Co., Inc., the tender agent and information agent for the Tender Offer (the "Tender and Information Agent"). Requests for copies of the Offer to Purchase should be directed to the Tender and Information Agent at +1 (800) 829-6554 (toll free) and +1 (212) 269-5550 (collect) or by e-mail to embraer@dfking.com.
Embraer reserves the right, in its sole discretion, not to accept any tenders of the 2027 Notes for any reason. Embraer is making the Tender Offer only in those jurisdictions where it is legal to do so.
Embraer has engaged Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and PNC Capital Markets LLC to act as the dealer managers (the "Dealer Managers") in connection with the Tender Offer. The Dealer Managers can be contacted at their telephone numbers set forth on the back cover page of the Offer to Purchase with questions regarding the Tender Offer.
Disclaimer
None of Embraer, the Dealer Managers, the Tender and Information Agent, the trustee for the Notes, or any of their respective affiliates, is making any recommendation as to whether holders should or should not tender any Notes in response to the Tender Offer or expressing any opinion as to whether the terms of the Tender Offer are fair to any holder. Holders of the 2027 Notes must make their own decision as to whether to tender any of their 2027 Notes and, if so, the principal amount of 2027 Notes to tender. Please refer to the Offer to Purchase for a description of the offer terms, conditions, disclaimers and other information applicable to the Tender Offer.
This press release is for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities. The Tender Offer is being made solely by means of the Offer to Purchase. The Tender Offer is not being made to holders of the 2027 Notes in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. In those jurisdictions where the securities, blue sky or other laws require any tender offer to be made by a licensed broker or dealer, the Tender Offer will be deemed to be made on behalf of Embraer by the Dealer Managers or one or more registered brokers or dealers licensed under the laws of such jurisdiction.
This press release may contain forward-looking statements within the meaning of Section 27A of the
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FAQ
What is the total consideration for ERJ's 2027 notes tender offer?
When does Embraer's (ERJ) tender offer expire?
What is the outstanding principal amount of ERJ's 2027 notes being tendered?
When is the settlement date for ERJ's 2027 notes tender offer?
What is the reference yield for ERJ's tender offer calculation?
