ISSUE NOMINAL AMOUNT: €428.3 MILLION

FIXED INTEREST RATE COUPON: 3.75%

MATURITY: 24 JUNE 2021

ISSUE CREDIT RATING (STANDARD & POOR’S): BB+ 

Milan, June 24, 2016 - Salini Impregilo (MTA: SAL) announces the successful placement to institutional investors, of an unsecured bond offer for a total nominal amount of € 428.3 million with a fixed interest rate coupon of 3.75%. The bonds will be listed on the Irish Stock Exchange and their settlement is expected by June 24, 2016. 

A portion of the bond issued with a nominal value of € 128.3 million, will be allocated to the holders of securities denominated "€ 400,000,000 6.125% notes due 1 August 2018" (ISIN: XS0956262892) that have joined the exchange offer launched by the company. The exchange ratio applied to existing bonds is 109.75%. As a result of the exchange, the residual value of € 400 million notes due on 1 August 2018 amount to € 283.1 million.

The proceeds from the newly issued bond, amounting to € 300 million, which were not the subject of exchange offer will be used by Salini Impregilo to repay the bridge loan facility utilized for the acquisition of Lane.

Notwithstanding volatile market conditions the Group was able to conclude a successful deal benefitting from the momentum created during the bond roadshow and leveraging on its strong credit profile that received the Investors’ confidence and allowed to close the deal at the tight end of the price guidance. 

This transaction contributed to further strengthen the Group’s debt profile, to extend the debt average maturity by more than a year and to increase the debt fixed-rate component. 

Joint Dealer Managers of the bond placement were Banca IMI, BNP Paribas, Goldman Sachs International, Natixis and UniCredit Bank AG.

*****

Disclaimer 

This announcement must be read in conjunction with the Exchange Offer Memorandum. This announcement and the Exchange Offer Memorandum contain important information which should be read carefully before any decision is made with respect to the Exchange Offer. If any Noteholder is in any doubt as to the contents of this announcement or the Exchange Offer Memorandum or the action it should take, it is recommended to seek its own financial and legal advice, including in respect of any tax consequences, immediately from its stockbroker, bank manager, solicitor, accountant or other independent financial, tax or legal adviser.  

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION TO ANY U.S. PERSON OR IN OR INTO THE UNITED STATES OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES OR ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS DOCUMENT.