News

OCI N.V. Announces Conditional Notices of Redemption of N.V.’s Senior Secured Notes and IFCo Bonds for an Aggregate Amount of Approximately $460 Million

10 December 2021

OCI N.V. (Euronext: OCI) today announced that it has given notice to the holders of its €300 million 3.125% Senior Secured Notes due 2024 (the "2024 EUR Notes") of the conditional redemption of all of the aggregate principal amount of the outstanding 2024 EUR Notes. The redemption price will be 101.5625% of the aggregate principal amount of the 2024 EUR Notes outstanding, plus accrued and unpaid interest and Additional Amounts, if any, to, but not including, the Redemption Date (as defined below).

In addition, OCI has exercised the option to redeem 10% of its 3.625% Senior Secured Notes due 2025 (the "2025 EUR Notes") and 10% of its 4.625% Senior Secured Notes due 2025 (the "2025 USD Notes" and, together with the 2024 EUR Notes and the 2025 EUR Notes, the "Notes"), or a total redemption of €40 million and $36 million of the aggregate principal outstanding amounts of the 2025 EUR Notes and 2025 USD Notes, respectively, each at a redemption price of 103% of the principal amount thereof, plus accrued and unpaid interest and Additional Amounts, if any, to, but not including, the Redemption Date.

The redemption date for the Notes is expected to be December 20, 2021 (the "Redemption Date"). The redemptions of the Notes are conditional upon OCI having financing in place in an amount sufficient (as determined by the Issuer in its sole and absolute discretion) to fund the necessary redemption amounts on the Redemption Date.

Separately, OCI’s subsidiary, Iowa Fertilizer Company LLC, exercised the option to redeem the remaining balance of $40 million on the outstanding principal amount of the Iowa Finance Authority Midwestern Disaster Area Revenue Refunding Bonds (Iowa Fertilizer Company Project), Series 2019 at a redemption price of 101.5%. The expected redemption date is December 29, 2021.

These transactions are expected to result in a reduction in OCI’s finance costs of approximately $15 million per annum from 2022 onwards and marks the continuation of the company’s financial policy to optimize its capital structure. OCI will continue to evaluate opportunities to achieve similar objectives.