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OCI Global Announces Agreement with Bondholders

BY PR Newswire | CORPORATE | 04/08/25 04:38 PM EDT

AMSTERDAM, April 8, 2025 /PRNewswire/ -- OCI Global?a leading global producer and distributor of hydrogen products today announced that it has reached a support agreement?(the "Support Agreement") with a group of holders (the "Bondholder Group") of its U.S.$ 600,000,000 6.700 per cent Notes due 2033 (the "Bonds"), relating to the treatment of the Bonds following the completion of the announced sale of OCI's Global Methanol Business to Methanex Corporation (the "MetCo Transaction").? The Bondholder Group includes members holding Bonds with a principal amount in excess of 60% of the total outstanding principal amount of the Bonds.? ?

Under the terms of the?Support Agreement:

  • OCI agrees that it will launch a tender offer for the Bonds within 5 business days of the successful closing of the MetCo Transaction, and each member of the Bondholder Group agrees to support and tender into any such tender offer.? The tender offer will be on customary terms and offer a price of 110.75% of par, plus accrued and unpaid interest; and
  • Each member of the Bondholder Group agrees that it will support any amendment to the Bonds proposed by OCI, which amends the documentation governing the Bonds to (1) insert a right of OCI to redeem the Bonds on or after the closing of the MetCo Transaction at a price of 110.75% of par, plus accrued and unpaid interest, ?and (2) waiving any alleged defaults or events of default that may be outstanding under the documentation governing the Bonds.

Hassan Badrawi, CEO of OCI commented:?"We are delighted to have reached agreement with a large group of our bondholders, with a view to an orderly pay down of our capital structure upon the closing of the MetCo Transaction.? OCI has a long and positive history in the bond markets and values its relationship with its investors, so we are pleased to have structured a deal that allows everyone to participate and rewards bondholders fairly for their faith in OCI over all these years."

This press release contains information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

ABOUT OCI GLOBAL

Learn more about OCI at www.oci-global.com. You can also follow OCI on LinkedIn.

CONTACT

Sarah Rajani CFA
Global Vice President, Investor Relations & Communications
Email: sarah.rajani@oci-global.com

Cision View original content:https://www.prnewswire.com/news-releases/oci-global-announces-agreement-with-bondholders-302423876.html

SOURCE OCI Global

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In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

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