Telecom Italia launches the buyback of dollar bonds maturing in 2018 and 2019, up to a maximum of 2 billion: the offer begins today and will end on July 15, “unless it is extended – reads a company note – or terminated early by the company”. The invitation to offer the Notes for repurchase by the company for cash consideration is directed to eligible holders of the Notes denominated “$1,000,000,000 6.999 per cent. Guaranteed Senior Notes due 2018” and “$1,000,000,000 7.175 per cent. Guaranteed Senior Notes due 2019”.
At the same time as the dollar buyback offer, the telecommunications company will invite i qualified holders of certain other securities denominated in euro issued by the company itself to offer these securities to the company for repurchase against a cash consideration, up to a maximum nominal repurchase amount of 1,5 billion euro, "which will be reduced - explains the note - by the equivalent in euro of the total principal amount of the Notes which have been accepted for repurchase pursuant to the Repurchase Offer thus made”.
In particular they will be repurchased Notes with 2018 maturity and a 6,999% coupon. these are securities issued for an amount of one billion dollars. Notes will also be repurchased with a 2019 maturity and a 7,175% coupon for $2 billion. In practice, Telecom has budgeted an amount of up to XNUMX billion dollars for the buyback of these securities: what will remain from the operation will be used for the repurchase of instruments denominated in euro.
