Simpson Thacher represented the
underwriters, led by Barclays, J.P. Morgan and RBS, in connection with a
registered public offering by Mondelēz International, Inc. (f/k/a Kraft Foods
Inc.) of $400 million of its Floating Rate Notes due 2019, $850 million
of its 2.250% Notes due 2019 and $1.75 billion of its 4.000% Notes due 2024,
amounting to $3 billion of new notes. The offering closed on January 16,
2014.
Mondelēz intends to use the net
proceeds from the issuance of the notes for general corporate purposes,
including to fund a cash tender offer for up to a combined aggregate principal
amount of $1 billion of its outstanding 6.500% Notes due 2040, 7.000% Notes due
2037, 6.875% Notes due 2038, 6.875% Notes due 2039 and 6.500% Notes due 2031.
Simpson Thacher is representing the dealer managers, including lead dealer
managers Barclays, Citigroup, Goldman, Sachs & Co., HSBC, RBS and UBS
Investment Bank, in connection with the tender offer.
Mondelēz is one of the world’s
largest snack companies with global net revenues of $35.0 billion in 2012.
Following the spin-off of its North American grocery operations under Kraft
Foods Group, Inc. to its shareholders in 2012, the company changed its name from
Kraft Foods Inc. to Mondelēz International, Inc. The company’s portfolio
includes nine brands with 2012 revenues exceeding $1.0 billion each:
Oreo, Nabisco, and LU biscuits; Milka, Cadbury Dairy
Milk and Cadbury chocolates; Trident gum; Jacobs
coffee; and Tang powdered beverage.
The Simpson Thacher team included
Andy Keller, John Lobrano, Teresa Chen and Daniel Hulme (Capital Markets);
Jonathan Cantor and Adam Wells (Tax); and Jennie Getsin (Blue Sky).