7th May 2021 11:00
(Alliance News) - Weir Group PLC on Friday said its has priced the offering of USD800 million in sustainability-linked notes due May 13, 2026.
The Glasgow-based mining technology and engineering firm said the notes will bear interest at a rate of 2.20% per annum, which will be paid semi annually on Thursday next week and November 13.
The interest rate will be linked to the achievement of Weir's 2024 Sustainability Performance Target to reduce its Scope one & Scope two emissions by 30%, and can be increased to 2.45% from and including the last payment before the end of 2024 if the target is not reached.
The offering is expected to close on about Thursday next week.
"We are delighted with the positive response to the group's first syndicated bond offering in our 150-year history. The proceeds will be used to repay existing debt maturing in 2022 and 2023, and for other general corporate purposes. In addition to strengthening our balance sheet further, the structuring of the offering as Sustainability-Linked Notes also reaffirms our commitment to reducing our environmental impact, including delivering a 30% reduction in emissions by 2024," said Chief Financial Officer John Heasley.
Shares in Weir Group were up 1.6% at 1,924.50 pence on Friday in London.
By Dayo Laniyan; [email protected]
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