ICTSI plans $400-M senior notes offering

International Container Terminal Services, Inc. (ICTSI) is planning to raise US$400 million from a new unsecured senior note offering overseas to refinance existing debt. In a disclosure to the Philippine Stock Exchange, the firm said its Board of Directors has already approved the offering of the notes which will have a distribution rate of 4.75 percent per annum, payable semiannually in arrears.

The notes will be priced at 99.607 percent of their face value and will be listed at the SGX.

Proceeds from the offering will be used by ICTSI to refinance and extend the maturity of the liabilities of the Company and its subsidiaries and for general corporate purposes.

ICTSI has tapped Citigroup Global Markets Limited, Credit Suisse (Hong Kong) Limited and J.P. Morgan Securities plc as

Joint Lead Managers.

It has signed with the joint lead managers a subscription agreement in connection with the issuance of the Senior Notes and will further execute the Trust Deed and the Agency Agreement relevant to the Senior Notes Offer with the trustee and the agents, respectively.

The Senior Notes have not been and will not be registered with the Philippine Securities and Exchange Commission under the Securities Regulation Code of the Philippines and its implementing rules.

Each of the joint lead managers for the Senior Notes Offer has represented, warranted and agreed that it has not and will not sell or offer for sale or distribution any Senior Notes in the Philippines.

But they may sell locally under circumstances in which the Senior Notes qualify as exempt securities or the transaction qualifies as exempt transaction under the SRC and its implementing rules.