Air Liquide Successfully Launches 500 Million U.S. Dollars of Long Term Bonds

PARIS--()--Regulatory News:

Air Liquide (Paris:AI) announces the successful launch of a bond issuance on the American bond market for an amount of 500 million U.S dollars with a 10-year maturity at a yield of 2.362%. With this transaction, the Group confirms its willingness to foster long term relationships with American credit investors.

The main characteristics of the bonds are the following:

Amount: 500 million U.S. dollars

Issuer: Air Liquide Finance, guaranteed by L’Air Liquide S.A.

Maturity: September 10, 2029 (10-year)

Settlement: September 10, 2019

Format: fixed rate, repayment at maturity

Coupon (payable semi-annually): 2.250%

This issue will be rated, consistently with L’Air Liquide S.A., « A- » by Standard & Poor’s and « A-3 » by Moody’s.

The proceeds raised will allow the Group, whose credit outlook has been recently revised to « positive » by Standard & Poor's, to refinance a USD-denominated bond issuance maturing in September 2019, and to continue funding its long term profitable growth while benefiting from historically low American interest rates. The Group’s capital structure remains very solid and this transaction further strengthens the liquidity and contributes to reduce the average cost of debt.

This transaction will bring the total outstanding amount of bonds issued to this day by the Group to approximately €13.2 billion, with an average maturity of 6 years.

Fabienne Lecorvaisier, Executive Vice President, in charge of Finance, commented : « Three years after the inaugural U.S. dollar issue for the refinancing of the Airgas acquisition, this successful transaction demonstrates the Group’s capabilities to access the American bond market and sustainably finance the Group’s activities in the U.S. »

 

A world leader in gases, technologies and services for Industry and Health, Air Liquide is present in 80 countries with approximately 66,000 employees and serves more than 3.6 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide’s scientific territory and have been at the core of the company’s activities since its creation in 1902.

 

Air Liquide’s ambition is to be a leader in its industry, deliver long term performance and contribute to sustainability. The company’s customer-centric transformation strategy aims at profitable growth over the long term. It relies on operational excellence, selective investments, open innovation and a network organization implemented by the Group worldwide. Through the commitment and inventiveness of its people, Air Liquide leverages energy and environment transition, changes in healthcare and digitization, and delivers greater value to all its stakeholders.

 

Air Liquide’s revenue amounted to 21 billion euros in 2018 and its solutions that protect life and the environment represented more than 40% of sales. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, EURO STOXX 50 and FTSE4Good indexes.

 

DISCLAIMER

This document and the information contained herein do not constitute an offer to sell or subscribe, nor the solicitation of an order to purchase or subscribe, securities in the United States, Canada, Japan or Australia or in any other jurisdiction where such offer may be restricted.

This document is not an offer of securities for sale nor the solicitation of an offer to purchase securities in the United States or any other jurisdiction. The securities referred to herein may not be offered or sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended. Air Liquide does not intend to register any portion of the planned offer in the United States or to conduct a public offering of securities in the United States.

This document does not contain or constitute an invitation, inducement or solicitation to invest.

This document does not constitute a prospectus within the meaning of Regulation (EU) 2017/1129 of the European Parliament and of the Council dated 14 June 2017 (the “Prospectus Regulation”).

This press release is directed only at and is for distribution only to persons who (i) are outside the United Kingdom, (ii) are “investment professionals” falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended, the “Order”), (iii) are persons falling within Article 49(2)(a) to (d) (“high net worth companies, unincorporated associations, etc.”) of the Order or (iv) are persons to whom an invitation or inducement to engage in investment activity (within the meaning of Article 21 of the Financial Services and Markets Act 2000) in connection with the issue or sale of any securities may otherwise lawfully be communicated or caused to be communicated (all such persons in (i), (ii), (iii) and (iv) together being referred to as “Relevant Persons”). This press release is directed only at Relevant Persons and must not be acted on or relied on by persons who are not Relevant Persons. Any investment or investment activity to which this press release relates is available only to Relevant Persons and will be engaged in only with Relevant Persons.

These materials shall not be distributed to any retail investor in the European Economic Area (“EEA”). For these purposes, the expression "retail investor" means a person who is one (or more) of the following: (i) a retail client as defined in point (11) of Article 4(1) of Directive 2014/65/EU (as amended, “MiFID II”); or (ii) a customer within the meaning of Directive (EU) 2016/97 (as amended), where that customer would not qualify as a professional client as defined in point (10) of Article 4(1) of MiFID II.

Consequently, no key information document required by Regulation (EU) No 1286/2014 (as amended, the “PRIIPs Regulation”) for offering or selling the notes or otherwise making them available to retail investors in the EEA has been prepared.

MIFID II product governance

MiFID II PRODUCT GOVERNANCE, PROFESSIONAL INVESTORS AND ELIGIBLE COUNTERPARTIES ONLY TARGET MARKET – Solely for the purposes of each manufacturer’s product approval process, the target market assessment in respect of the Notes has led to the conclusion that: (i) the target market for the Notes is eligible counterparties and professional clients only, each as defined in Directive 2014/65/EU, as amended ("MiFID II") and (ii) all channels for distribution of the Notes to eligible counterparties and professional clients are appropriate. Any person subsequently offering, selling or recommending the Notes (a "distributor") should take into consideration the manufacturers’ target market assessment; however, a distributor subject to MiFID II is responsible for undertaking its own target market assessment in respect of the Notes (by either adopting or refining the manufacturers’ target market assessment) and determining appropriate distribution channels.

These materials may only be communicated in France to qualified investors (investisseurs qualifiés) within the meaning of Article 2(e) of the Prospectus Regulation and in accordance with Articles L.411-1 and L.411-2 of the French Code monétaire et financier.

The release, publication or distribution of these materials in certain jurisdictions may be restricted by laws or regulations. Therefore, persons in such jurisdictions into which these materials are released, published or distributed must inform themselves about and comply with such laws or regulations.

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Contacts

Corporate Communications
media@airliquide.com
+33 (0)1 40 62 58 49

Corporate Finance & Treasury
Jacques Molgo
+33 (0)1 40 62 57 75
Aude Revel
+33 (0)1 40 62 56 64

Investor Relations
Paris - France
+33 (0)1 40 62 50 87
Philadelphia - USA
+1 610 263 8277

Contacts

Corporate Communications
media@airliquide.com
+33 (0)1 40 62 58 49

Corporate Finance & Treasury
Jacques Molgo
+33 (0)1 40 62 57 75
Aude Revel
+33 (0)1 40 62 56 64

Investor Relations
Paris - France
+33 (0)1 40 62 50 87
Philadelphia - USA
+1 610 263 8277