#Sustainability #United Kingdom #Tender Offer #Glasgow #Weir Group

The Weir Group PLC Initiates Cash Tender Offer for Sustainability-Linked Notes

The Weir Group PLC, a prominent player in the engineering sector, has recently announced the launch of a cash tender offer for its outstanding 2.200% Sustainability-Linked Notes, set to mature in 2026. This move is part of the company's broader strategy to manage its financial obligations and align with its sustainability goals.

Understanding the Tender Offer

The company’s offer invites holders of these notes to sell them back in exchange for cash. This tender offer was officially launched on April 28, 2025, and is meant to encompass any and all of the outstanding notes, reflecting Weir's commitment to proactive financial management. According to the Offer Documents, detailed information regarding the processes involved in this offer can also be accessed via their dedicated website.

Here's a snapshot of the offer details:

• - Security Type: 2.200% Sustainability-Linked Notes due 2026
• - Total Outstanding Principal: $800 million
• - Offer Amount: Any and all
• - Reference Security: 3.750% U.S. Treasury due April 30, 2027

As part of this operation, Weir Group intends to cancel and retire all notes that are accepted through the offer, thereby reducing its existing debt obligations.

The GBP Offer

In conjunction with the dollar-denominated offer, Weir Group has also launched a GBP tender offer, which encompasses up to £150 million of its 6.875% Sustainability-Linked Notes maturing in 2028. However, this GBP Offer is specifically not being conducted in or directed towards investors located in the United States, highlighting Weir's attention to regulatory compliance.

Conditions for Acceptance

For the successful execution of the offer, it hinges on the completion of a new notes offering by Weir Group Inc., a wholly-owned subsidiary. The terms for this offering are to be satisfactory to the company in its discretion and are not dependent on the completion of the tender offer. The pricing for the tender offer will be established using a fixed spread based on the yield of the U.S. Treasury Reference Security.

Key Dates to Note

• - Launch Date: April 28, 2025
• - Price Determination Date: May 2, 2025
• - Expiration Time: May 2, 2025, at 5:00 PM New York City Time

It is crucial for holders to adhere to these dates, especially the withdrawal deadline, set for the same day as the expiration time.

Accrued Interest and Key Considerations

Participants in the offer will not only receive the principal amount for their tendered notes but will also retain accrued interest from the last payment date up until the settlement date, which is expected to occur shortly after the acceptance date. This helps ensure that noteholders receive a fair return on their investment while engaging in this financial transaction.

Weir Group will disclose the results of the tender offer shortly after the expiration, ensuring that all stakeholders are well-informed of the outcomes.

Conclusion

This tender offer reflects Weir Group's strategic approach to managing its financial portfolio and advancing its sustainability agenda. By undertaking such financial maneuvers, Weir aims to strengthen its market position and align itself more closely with environmentally responsible practices. The road ahead for the company looks promising as it navigates through these financial offers, setting a precedent in the realm of sustainability in corporate finance.