Votorantim Cimentos SA has informed the general market that it has priced an offering in the international market of debt securities issued by its subsidiary St Marys Cement Inc, Canada of US$500m with 5.896 per cent yield per annum and 5.75 per cent coupon per annum. The yield will be payable semi-annually on the second day of April and October of each year, starting from 2 October 2024, and maturing on 2 April 2034.
The Notes will have an environmental performance indicator (KPI) related to Scope 1 net CO2 emissions intensity (in kg CO2/to of cementitious product produced) and thermal substitution (in percentage), demonstrating the company’s commitment to the decarbonisation process, in line with the implementation of its sustainability goals to be achieved by 2030. The Notes are characterised as sustainability-linked bonds under the principles promulgated by the International Capital Markets Association. Additional information on the sustainability scope of the Notes can be found in the Sustainability-Linked Financing Framework document available on the company’s Investor Relations website. The company has voluntarily obtained a Second Party Opinion on this issuance.
The company intends to use the net proceeds from the offering of the Notes to settle the tender offer to repurchase any and all of the outstanding “2027 Notes”, as previously released, and for general corporate purposes. The Notes will not be registered with the Brazilian Securities Commission (Comissão de Valores Mobiliários – CVM).
