(Alliance News) - HSBC Holdings PLC on Tuesday said it plans to launch nine separate offers to purchase outstanding series of debt notes with the aggregate outstanding principal amount of USD8.26 billion.
In descending order of acceptance priority, it has offered to purchase its 4.000% senior unsecured noted due March 2022, for which the principal amount outstanding is USD2.00 billion, and its 2.950% senior unsecured noted due May 2021, the principal amount outstanding being USD1.54 billion.
The Asian-focused lender has also offered to purchase its 2.650% senior unsecured notes due January 2022, principal amount outstanding USD638.1 million; 4.875% Senior Unsecured Notes due January 2022 with principal outstanding USD417.5 million; and floating rate senior unsecured notes due January 2022 with principal outstanding USD755.2 million.
Additionally, HSBC will purchase its 3.400% senior unsecured notes due March 2021 with principal amount outstanding USD978.5 million; 5.100% senior unsecured notes due April 2021 with principal outstanding USD848.6 million; floating rate senior unsecured notes due May 2021 with principal outstanding USD570.3 million; and floating rate senior unsecured notes due March 2021 with principal outstanding USD511.5 million.
HSBC explained that the purpose for the offers it improve its liabilities structure, as the notes no longer qualify as eligible liabilities items under EU regulation once they have a residual maturity of less than 12 months. The offers are independent of each other, it noted.
Shares in HSBC were down 2.0% at 381.20 pence in London on Tuesday morning.
By Anna Farley; annafarley@alliancenews.com
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