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AngloGold issues R1.2bn bond offering

26th July 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JOHANNESBURG (miningweekly.com) – Gold major AngloGold Ashanti on Friday announced a bond offering of $1.25-billion in notes at 8.5%.

The offer for the notes, which are due in 2020, would close on Tuesday.

The notes would be unsecured and fully and unconditionally guaranteed by the company.

AngloGold said in a statement that the proceeds, which were estimated at $1.235-billion after deductions, would be used for general corporate purposes and the repayment of “other indebtedness”.

Citigroup Global Markets, Deutsche Bank Securities and Goldman, Sachs & Co - which were mandated mid-July to “organise a series of investor meetings” ahead of its plans to access the capital markets, with a US dollar senior notes offering before the end of the year - were appointed joint bookrunners for, and underwriters of, the offering.

AngloGold announced earlier this week it would buy back about $743-million in convertible bonds – due in 2014 with an interest rate of 3.5% - at a 1.5% premium.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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