MOL Announces Conditions for Public Offering of Hybrid Corporate Bonds
April 21, 2021
TOKYO-Mitsui O.S.K. Lines, Ltd. (MOL; President & CEO: Takeshi Hashimoto) today announced that it has determined the conditions for the issuance of publicly offered hybrid corporate bonds (no collateral and subordinated corporate bonds) (the "Hybrid Bonds"). The company issued a press release on March 17 announcing its intent to issue the bonds (Note 1). Details are as follows.
|(1) Name of bonds||Mitsui O.S.K. Lines, Ltd.
1st unsecured subordinated bonds with an interest payment deferrable clause and optional early redemption conditions
|(2) Issued amount||JPY 50 billion|
|(3) Initial interest rate||1.60% (Note 2)|
|(4) Closing date||April 27, 2021|
|(5) Date of maturity||April 27, 2056|
|(6) Early redemption||Mitsui O.S.K. Lines, Ltd. may redeem the Hybrid Bonds before redemption at its discretion on any interest payment date from and including April 27, 2026, or upon the occurrence and continuation of a Tax Event or an Equity Credit Change Event on or after the issue date.|
|(7) Interest payment date||April 27 and October 27 of each year|
|(8) Deferral of interest payments||Mitsui O.S.K. Lines, Ltd. may, at its discretion, defer all or part of the interest payments on the Hybrid Bonds, subject to mandatory payment clauses.|
|(9) Subordination||The Hybrid Bonds are ranked subordinated to MOL’s general debt and senior to the common stock.|
|(10) Bond rating||BBB (Japan Credit Rating Agency, Ltd.)|
|(11) Equity credit||Intermediate equity credit 50% (Japan Credit Rating Agency, Ltd.)|
Please refer to March 17, 2021 press release: MOL Announces Issuance of Publicly Offered Hybrid Corporate Bonds
The fixed interest rate will be applied from the day after April 27, 2021, to April 27, 2026, and a variable interest rate from the day after April 27, 2026 ("Step-up interest rates" will be applied from the day after April 27, 2026).
Note: This announcement is prepared solely for purpose of public disclosure regarding the issuance of hybrid corporate bonds (no collateral and subordinated corporate bonds), and does not constitute a solicitation of investments or any similar acts.