MHP boosts offer price for 2020 bonds to 103.75%

Ukraine’s leading poultry producer and farmer MHP (MHPSA, MHPC LI) reported on April 24 it has increased its early tender offer price for its Eurobond maturing in 2020 to 103.75% of par (from 102.75%). The deadline to apply for the sale of bonds at that price remained April 27. Recall, the company initiated on April 18 a tender offer to purchase about USD 350 mln in its 2020 notes (of a total of USD 750 mln outstanding).

Alexander Paraschiy: Its looks like MHP was not satisfied with the amount of noteholders applying for the sale, given its USD 350 mln target. The announcement has already affected the price of the notes on the secondary market, which advanced to almost 103.0% as of this morning from about 102.90% beforehand. As we wrote before, it is hard to predict whether MHP will be able to find enough sellers to reach its target.