FMG completes $US600m bond offering
Fortescue Metals has completed a $US600 million ($A880 million) bond offering at it refinances its debts.
The ASX-listed miner said proceeds from the senior unsecured notes will be used to pay off a portion of its $US1.4 billion 2022 syndicated term loan facility.
The bonds were issued at an interest rate of 4.5 per cent, maturing in September 2027.
Fortescue is also negotiating to extend $US600 million its existing term loan facility to 2025 on the same terms and conditions, while planning to repay the $US200 million balance from operating cash.
"Fortescue's balance sheet is structured on investment grade terms which have allowed us to take advantage of market conditions to extend the maturity profile of Fortescue's debt at a low cost," chief executive Elizabeth Gaines said.
Fortescue Metals' profit nearly tripled for FY19 thanks to robust output and soaring iron ore prices amid a supply crunch.
Ms Gaines said FY20 had started strongly.
Shares in the company were worth $8.27 before trade on Friday, more than double the $3.43 price a year ago.
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