Nordic bond market: 09/15/2022 NES Fircroft Bondco AS
(NESFIR) US$300m Reg S sr sec sustainability-linked notes due 09/29/26 (4y). NC2 (MWC), then at 105.875, 104.113, 102.350, 100.588 after 24,30,36,42 months respectively (plus any applicable S-L redemption premium). IPO claw: 2y 35% at 105.875 (plus any applicable S-L redemption premium). Special call upon CoC the first 2 years at 105.875 (par + 50% of the coupon). CoC put at 101. B2/B (stable/stable). Security: first priority pledge over the shares in the issuer and each guarantor. Semi pay. List Frankfurt, Nordic ABM, and Oslo Bors. Norwegian law. Via ABG Sundal/Pareto (B&D) jt books. Settles 09/29. ISIN: NO0012554692. IPT: low double digits. Revised IPT: 11.25%-12.00% coupon at an issue price of 97.50. (books were covered by IoI at the IPT). Priced: 11.75% at 97.50, yield 12.564%. +881bp vs 0.875% 09/30/26.
SPTs: 1. Increase NFI generated from non-oil & gas projects by minimum 10% year-on-year; 2. increase the number of contractors placed with energy transition/renewable by minimum 10% year-on-year; 3. increase the share of women represented in sr management to 20% by FY2025.
SPT premium: Maximum Sustainability-Linked Redemption Premium of 50bp to be added to the nominal amount upon the maturity date or call date, depending on whether the SPTs are met. Applicable premium to be equal to the Maximum Sustainability-Linked Redemption Premium minus one-third (1/3) of the Maximum Sustainability-Linked Redemption Premium for each KPI where the issuer meets the SPT on the Target Observation Date.
Roadshow began Mon (08/29). UOP: refi debt ($262m term loan B and and $17m drawn on its existing revolver) (also new $72m revolver - undrawn), GCP. Equity sponsors: AEA Investments/Equistone. Biz: provides staffing services (contract engineers and project managers) for the global engineering sector, including the oil and gas sector. HQ: Altrincham, UK.