25th Oct 2017 12:17
October 25, 2017 PRESS RELEASE
THIS ANNOUNCEMENT IS NOT FOR DISTRIBUTION TO ANY PERSON LOCATED OR RESIDENT IN ANY JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE SUCH ANNOUNCEMENT.
TMK Announces Consent Solicitation
PAO "TMK" ("TMK") announces the convening of a meeting of holders of the U.S.$500,000,000 6.75 per cent. Loan Participation Notes due 2020 (the "Notes").
Holders will be asked to consider and, if thought fit, pass an extraordinary resolution, which will provide for certain modifications to the loan agreement and the deed of loan guarantee in respect of the Notes, including the release of IPSCO Tubulars Inc. from obligations under its guarantee.
TMK continues to consider a range of strategic alternatives for IPSCO Tubulars Inc., and the modifications, if implemented, will allow TMK the flexibility to pursue the optimal strategy for the Group to maximise the value of its holding in IPSCO Tubulars Inc.
TMK's current intention, were the modifications to be implemented, is for TMK to use substantially all of the proceeds it receives from any such strategic alternative for repayment of its indebtedness that ranks pari passu or senior to the Notes.
As set out in and subject to the terms of the Consent Solicitation Memorandum dated today, TMK will pay to relevant Noteholders, who have delivered a vote in favour of the modifications within the time specified therein, a consent fee of U.S.$6.25 per U.S.$1,000 principal amount of the Notes.
Based on discussions held with each of Standard & Poor's ("S&P") and Moody's ("Moody's"), TMK expects that the credit ratings assigned to the Notes by these rating agencies (currently: Moody's: B1; and S&P: B+) will be unaffected were the modifications to be implemented.
Solicitation Agents and Tabulation Agent
The Solicitation Agents for the Consent Solicitation are:
Citigroup Global Markets Limited Citigroup Centre Canary Wharf London E14 5LB United Kingdom
Telephone: +44 20 7986 8969 Email: [email protected] Attention: Liability Management Group | J.P. Morgan Securities plc 25 Bank Street Canary Wharf London E14 5JP United Kingdom
Telephone: +44 20 7134 2468Email: [email protected] Attention: Liability Management |
VTB Capital plc 14 Cornhill London EC3V 3ND United Kingdom
Telephone: +44 203 334 8118 E-mail: [email protected] Attention: Liability Management | |
The Tabulation Agent with respect to the Consent Solicitation is:
Lucid Issuer Services Limited Tankerton Works 12 Argyle Walk London WC1H 8HA
Telephone: +44 207 704 0880 E-mail: [email protected] Attention: David Shilson / Alexander Yangaev |
For further information please contact:
TMK IR Department
Marina Badudina
Tel: +7 (495) 775-7600
TMK PR Department
Alexander Goryunov
Tel.: +7 (495) 775 7600 ext. 21-25
E-mail: [email protected]
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For further information regarding TMK, please, visit www.tmk-group.com as well as download the YourTube iPad application from the App Store
TMK on Facebook * TMK on Twitter * TMK on Youtube * TMK on Flickr
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ТМК (www.tmk-group.com)
TMK (LSE: TMKS) is a leading global manufacturer and supplier of steel pipes for oil and gas industry, operating 26 production sites in the United States, Russia, Canada, Romania, Oman and Kazakhstan with two R&D centers in Russia and the USA. In 2016, TMK's pipe shipments totalled 3.46 million tonnes. The largest share of TMK's sales belongs to high margin oil country tubular goods (OCTG), shipped to customers in over 80 countries. TMK delivers its products along with an extensive package of services in heat treating, protective coating, premium connections threading, warehousing and pipe repairing. TMK's securities are listed on the London Stock Exchange, the OTCQX International Premier trading platform in the U.S. and on the Moscow Exchange MICEX-RTS.
TMK's assets structure by division:
Ø Russian division: · Volzhsky Pipe Plant; · Seversky Tube Works; · Taganrog Metallurgical Works; · Sinarsky Pipe Plant; · TMK-CPW; · TMK-Kaztrubprom; · TMK-INOX; · TMK Oilfield Services.
| Ø American division: · 11 plants of TMK IPSCO; · TMK Completions. Ø European division: · TMK-ARTROM; · TMK-RESITA. Ø Middle East Division: · TMK GIPI (Oman).
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Related Shares:
TMKS.L