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News Jun 14, 2015

Shearman & Sterling Advises on €175 Million High Yield Bond Tap Issuance by CMA CGM

Shearman & Sterling represented BNP Paribas, Crédit Agricole Corporate and Investment Bank, HSBC Bank plc, ING Bank N.V., London Branch, Société Générale and UniCredit Bank AG, as initial purchasers, on CMA CGM’s €175,000,000 tap issuance of 7.75% Senior Notes due 2021. The notes are being issued as additional notes under CMA CGM’s indenture governing its €550,000,000 7.75% Senior Notes due 2021 issued on June 8, 2015 (the “Initial Notes”).

The net proceeds of the offering, which closed on June 12, 2015, together with available cash and the net proceeds of the Initial Notes, will be used to redeem all of CMA CGM’s $475,000,000 8.500% Senior Notes due 2017 and €325,000,000 8.875% Senior Notes due 2019 (together, the “Existing Notes”) outstanding following the settlement of the tender offer relating to the refinancing of the Existing Notes on June 8, 2015 and to pay fees and expenses in connection with the offering.

The Shearman & Sterling team included lawyers from the firm’s London, Paris and Washington, DC offices and included associates Dora Athanasiadou (London-Capital Markets) and Arthur Ravignon (London-Capital Markets). Partner Hervé Letréguilly (Paris-Capital Markets) and counsel Séverine de La Courtie (Paris-Capital Markets) advised on the French aspects of the transaction. Partner Kristen Garry (Washington, DC-Tax) and associate Mary Jo Lang (Washington, DC- Tax) advised on the US tax aspects of the transaction, and counsel Anne-Sophie Maes (Paris-Tax) and associate Charles Filleux-Pommerol (Paris-Tax) advised on the French tax aspects of the transaction.