MHP bondholders tender USD 245 mln in notes before first deadline

Ukraine’s leading poultry and farmer MHP (MHPSA, MHPC LI) reported that the holders of USD 245 mln in aggregate principal amounts of the company’s outstanding USD 750 mln in Eurobonds maturing in 2020 have tendered their notes before the closing of the first tender deadline of April 27.

Recall that on April 24, the company decided to raise its early tender offer price to 103.75% of par (from 102.75%). The price offered by MHP will be 99.75% of par between the first offer deadline and the May 15 expiration deadline.

Igor Zholonkivskyi: As of now, it looks like MHP is likely to miss its USD 350 mln tender target, with the current tender offer price at 99.75% of par. The company’s final decision on whether it will reduce the target to a large extent will depend on what the pricing of its new Eurobonds will be.