BHP launches share buy-back
PERTH (miningweekly.com) – Diversified miner BHP has launched a $1.9-billion multi-currency subordinated note repurchase plan, targeting US dollar and euro subordinated notes issued in 2015.
The miner said this week that the multi-currency plan, which will be funded from surplus cash, would reduce the group’s gross debt balance, reduce associated interest costs and enhance the group’s capital structure.
In conjunction with the repurchase plan, BHP intends to redeem the $1-billion 6.250% subordinated non-call 5 fixed rate reset notes due 2075, on their first reset date on October 19, 2020, also using available cash.
It is expected that the remaining subordinated notes will continue to be part of the company’s debt profile following the offers and redemption, though in a reduced quantum, BHP said.
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