Commentary & Deal Flow

Verallia SA (VRLA) EUR500m (from EUR300-500m) Reg S bearer sr unsec Sustainability-Linked (green) notes due 05/14/28 (7y) (from 5 to 7y maturity). NCL (MWC FRTR+30bp) (3mo par call) (clean-up call 75%). --/BB+ (--/stable). Via BNP (B&D)/CA/DB as jt glocos and books/BofA/Raiffeisen/Santander/Soc Gen jt passive books.  BNP coordinated roadshow logistics. Annual pay (Act/Act). List Paris. French law. Settles 05/14 (T+6). ISIN: FR0014003G27. The offering will be linked to Verallia achieving 2 KPI conditions by 2025 (SPT): 1. Reduce CO2 emission (scope 1 and 2) to 2,625 kt by 2025 (15% decrease vs 2019 baseline of 3,090 kt); and 2. Increase external cullet share to 59% by 2025 (10 points increase vs 2019 baseline of 49%). Step-Up Margins: Zero SPT met: +25 bps / One SPT met: +12.5 bps / Two SPTs met: +0 bp. IPT: 1.875%-2.00%. Guidance: 1.625%-1.75%. Final Guidance: 1.50%-1.625% wpir. Final terms: EUR500m at 1.625%.

Priced: 1.625% at 100. ms+174.9bp. +211.3bp vs DBR 0.5% 02/28. +185.7bp vs FRTR 0.75% 05/28.

Roadshow started 05/04 (investor call at 1pm UKT 05/04). Books went subject at 11:45am UKT today. Final orderbook over EUR1.9bn (down from EUR2.1bn at the tight end of the guidance pre-rec). UOP: to repay EUR500m of its EUR1.493bn term loan A. Biz: European leader and world’s 3rd largest producer of glass packaging for beverages and food products. HQ: Paris, France.