KPN Sells Two-Part Euro, Sterling Hybrid Bond

By Carol Dean

Dutch telecommunication company KPN NV has priced a two-part, euro and sterling, hybrid bond with the following terms, a lead manager said Thursday.

Deutsche Bank AG, Goldman Sachs Group Inc. and JP Morgan Chase & Co. are the banks managing the bond issue.

Amount:           EUR1.1 billion
Maturity:         Perpetual
Coupon:           6.125%
Reoffer Price:    99.478
Spread:           520.2 basis points over midswaps
Yield:            6.25%

Amount:           GBP400 million
Maturity:         60 years
Coupon:           6.875%
Reoffer Price:    99.326
Spread:           550.5 basis points over midswaps
Yield:            6.875%

Terms common to both tranches:

Expected Debt Ratings:     Ba1(Moody's)
                           BB  (Standard & Poor's)
                           BB (Fitch)
Listing:                   Amsterdam

Write to Carol Dean at carol.dean@dowjones.com

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  03-07-131203ET
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