Announcement of tender offer of certain UBS Group AG senior unsecured bail-in notes

Rhea-AI Summary

UBS Group AG (NYSE:UBS) has announced an invitation for holders of its EUR 1.5bn and EUR 1.25bn fixed-rate notes to tender for cash in light of recent corporate actions. The Notes, issued on March 17, 2023, include 4.625% notes due March 2028 and 4.750% notes due March 2032. UBS assures compliance with obligations related to the Notes and is offering to repurchase them at 99.932% and 99.518% of their principal amounts, respectively. The Offers commence on March 22, 2023, with a final expiration deadline on April 4, 2023. More details can be found in the official notice on the SIX Swiss Exchange.

Positive

• UBS is proactively addressing recent corporate developments by repurchasing outstanding Notes.
• The Offers provide liquidity to noteholders at competitive prices.

Negative

• The repurchase may indicate UBS's cautious approach to future financial stability amidst uncertainties.

Ad hoc announcement pursuant to Article 53 of the SIX Exchange Regulation Listing Rules

ZURICH--(BUSINESS WIRE)-- Regulatory News:

UBS Group AG (NYSE:UBS) (SWX:UBSN) (the “Issuer”) invites the holders of the EUR 1.5bn 4.625% fixed rate notes due March 2028 with ISIN CH1255915006 and the EUR 1.25bn 4.750% fixed rate notes due March 2032 with ISIN CH1255915014 (together the “Notes”), both of which were issued on 17 March 2023 (the “Issue Date”), to tender their Notes for cash (the “Offers").

Whilst UBS has been in compliance with all of its obligations relating to the Notes since the Issue Date, the Issuer is offering to purchase the Notes at their respective re-offer price in light of the exceptional corporate actions announced on 19 March 2023, shortly after the issue date. The Issuer has decided to launch this exercise as a result of a prudent assessment of these recent developments and the Issuer's long-term commitment to its credit investors.

The price payable by the Issuer in respect of the Notes of each tranche accepted for purchase (the “Purchase Price”) will be (i) in the case of the Notes due March 2028, 99.932 per cent. of the principal amount of the relevant Note accepted for purchase, and (ii) in the case of the Notes due March 2032, 99.518 per cent. of the principal amount of the relevant Note accepted for purchase.

The Offers commence on 22 March 2023 with the Early Expiration Deadline on 28 March 2023, and the Final Expiration Deadline on 4 April 2023 (together, the “Expiration Deadlines”), unless extended, withdrawn or terminated at the sole discretion of the Issuer.

Please refer to the Official Notice published to SIX Swiss Exchange for more information. The Official Notices are accessible here: https://www.six-group.com/en/products-services/the-swiss-stock-exchange/market-data/news-tools/official-notices.html#/.

Disclaimer

This document and the information contained herein are provided solely for information purposes, and are not to be construed as a solicitation of an offer to buy or sell any securities or other financial instruments in Switzerland, the United States or any other jurisdiction. No investment decision relating to securities of or relating to UBS Group AG, UBS AG or their affiliates should be made on the basis of this document. UBS undertakes no obligation to update the information contained herein.

This document contains statements that constitute “forward-looking statements.” While these forward-looking statements represent UBS’s judgments and expectations concerning the matters described, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially. For a discussion of the risks and uncertainties that may affect UBS’s future results please refer to the “Risk Factors” and other sections of UBS’s most recent Annual Report on Form 20-F, quarterly reports and other information furnished to or filed with the US Securities and Exchange Commission on Form 6-K. UBS’s Annual Report on Form 20-F, quarterly reports and other information furnished to or filed with the US Securities and Exchange Commission on Form 6-K are also available at the SEC’s website: www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230321006002/en/

UBS Group AG

Investor Relations:

Switzerland: +41-44-234 41 00

Media Relations:

Switzerland: +41-44-234 85 00

UK: +44-207-567 47 14

Americas: +1-212-882 58 58

APAC: +852-297-1 82 00

www.ubs.com/media

Source: UBS Group AG

FAQ

What is UBS Group AG's recent announcement regarding its fixed-rate notes?

UBS announced an invitation for noteholders to tender their fixed-rate notes for cash due to recent corporate actions.

What are the fixed-rate notes involved in UBS's tender offer?

The notes include EUR 1.5bn 4.625% notes due March 2028 and EUR 1.25bn 4.750% notes due March 2032.

When does UBS's note tender offer start and end?

The tender offer starts on March 22, 2023, with a final expiration deadline on April 4, 2023.

What prices is UBS offering for its fixed-rate notes?

UBS is offering 99.932% of the principal for the 2028 notes and 99.518% for the 2032 notes.