Commentary & Deal Flow

[ENDEAVOUR MINING]

Endeavour Mining Plc (Ticker: EDV LN (London), EDV CN (Toronto)), (BB-/BB (n/s)) by S&P/Fitch, US$500m 144A/Reg S 5nc2 sr unsec notes due 5/28/30. First call date: 5/28/27. Call Schedule: First call at 100.000% + 50% of coupon in 2027, Second call at 100.000% + 25% of coupon in 2028, Callable at 100.000% from 2029. MWC: During non-call period, at a discount rate of Treasury plus 50 basis points. Put Option: Put at 101% in the case of Change of Control and Ratings Decline. Covenants: Incurrence based covenants including but not limited to: Debt Incurrence: Fixed Charge Coverage Ratio: 2.0x; Restricted Payments: 50% of CNI subject to incurrence ratio; amongst others. Guarantors: (1) Endeavour Canada Holdings Corporation, (2) Endeavour Gold Corporation, (3) Ity Holdings UK Limited, (4) Hounde Holdings Ltd., (5) Mana Burkina Holdings Ltd., (6) Massawa (Jersey) Limited, (7) Sabodala Gold (Mauritius) Limited and (8) Lafigue Holdings UK Limited. Listing/Trading: Euronext Dublin GEM. Governing Law: New York. UOP: Finance the purchase of any and all existing notes validly tendered and accepted for purchase by the issuer pursuant to the tender offer, and to pay fees and expenses in relation to the transaction. Pricing 5/21. Settle 5/28 (T+4).

VIA Citi (B&D) sole global coordinator. Citi/BMO/HSBC/ING joint active books.

Announced at US$500m, we heard initial price thoughts as High 7%.

Ultimately the $500m deal priced as follows:

$500m 7.00% 5/28/30 98.967 7.25%. MW+50

As for f/v, the company announced a tender offer for its only outstanding bond, so CONCESSION IS N/A.

COMPS AWAY:

WINDFALL MINING GROUP (N/A/BBB-/BBB-)
-GFISJ 5.854% due 05/01/32 $100.12 (5.832%; G156) - $500M pxd 05/05/25 +85

ANGLOGOLD HOLDINGS PLC (Baa3/BB+/BB+)
-ANGSJ 3.750% due 10/30/25 $92.36 (5.410%; G130)- $750M pxd 05/05/25 +103

CIA DE MINAS BUENAVENTURA (N/A/BB-/BB-)
-BUENAV 6.800% due 02/01/32 $99.88 (6.820%; G259) - $500M pxd Feb 2024

NAVOI MINING METALLURGIC (N/A/BB-/BB-)
-NAVOIM 6.750% due 05/30/25 $99.34 (6.910%; G285)- $500M pxd 08/08/24 +132

CAPSTONE COPPER CORP (B1/BB-/BB-)
-CAPCOP 6.750% due 03/01/33 $99.90 (6.764%; G243) - $300M pxd Mar 2023

NEW GOLD INC (B3/BB-/BB-)
-NGDCN 6.875% due 04/01/32 $101.68 (6.463%; G241) - $400M pxd Aug 2021

ARIS MINING CORP (B1/B+/B+)
-ARISCN 8.000% due 10/29/25 $101.58 (7.469%; G350) - $400 pxd Aug 2021

IVANHOE MINES LTD (N/A/B/B)
-IVN 7.875% due 01/30/25 T+397bp $99.47 (8.031%; G397) - $ pxd Nov 2023

FIRST QUANTUM MINERALS L (N/A/B/B)
-FMCN 8.625% due 06/01/31 $101.65 (7.998%; G405)- $375M pxd Mar 2023
-FMCN 8.000% due 03/01/33 $99.21 (8.136%; G380) - $425M pxd Mar 2024

FINAL BOOKS:

$500M 5NC2 - $1.705bn (3.41x) - PEAK $2.5bn