Commentary & Deal Flow

+++Corrects typo in the headline on the EUR tranche: 8.625% (not 8.265%)+++

Zegona Finance plc (Vodafone Spain) (ZEGLN) EUR3.41bn equivalent across TLB and sr sec notes.

US$/EUR sr 144A/Reg S sr sec notes. Ba3/BB/BBB- (positive/positive/stable). No reg rights. List lux. NY law.

- EUR1.3bn (from EUR1.25bn minimum) due July 2029 (5y). NC2 (MWC B+50bp) (50%,25%,par). Equity claw: 2y 40%. Special call: 10% per year the 1st 2 years at 103. Via DB (B&D)/ING/UniCredit jt glocos and physical books/DNB/IMI/Santander jt books. IPT: 6.50%-6.75%. Price talk: 6.50%-6.75%. Final terms: EUR1.3bn 6.75% at par.

- US$900m (from minimum US$750m) due July 2029 (5y). NC2 (MWC T+50bp) (50%,25%,par). Equity claw: 2y 40%. Special call: 10% per year the 1st 2 years at 103. Via DB (B&D)/ING jt physical books/UniCredit jt glocos/DNB/IMI/Santander jt books.IPT: mid 8s. Price talk: 8.50% area (unchanged). Final terms: US$900m at 8.625% at par.

Roadshow (virtual group meetings) 07/01-03 (investor call 3pm UKT / 10am NYT 07/01). Books closed at 3pm UKT / 10am NYT 07/10. Reconfirm by 4:30pm UKT / 11:30am NYT 07/10. Pricing 07/10. UOP: along with EUR37.4m cash on hand (TLB sizes US$400m (from US$400m min) and EUR920m (from EUR900m min), to repay $3.410bn bridge loans incurred to fund the acquisition of Vodafone Spain by Zegona Communications from Vodafone for approx. EUR5bn. Also incurred EUR500m term loan. Zegona will contribute EUR1.2bn in equity. Biz: leading integrated provider of Broadband, Mobile and TV in Spain (Acquisition announced 10/31/203, completed 05/31/2024)). Netroadshow: https://www.netroadshow.com/events/login?show=cf011d44&confId=68008