Boston, MA 06/05/2014 (wallstreetpr) – GOLDCORP INC. (NYSE: GG) declared to offer $1.0 billion senior unsecured notes. It will consist 3.625% notes worth approximately $550 million, which is due on 9th June, 2021 and 5.45% notes worth approximately $450 million due on 9th June, 2044. The Closing Date for this offer is 9th June, 2014.
GOLDCORP INC’s Future Plans
GOLDCORP INC. (NYSE: GG) hopefully expects to generate net income of approximately $988 million with this offering, post deducting the underwriting cost and various other expenses. The Company plans to use the revenue generated from offering to repay $862.5 million of its convertible notes maturing in August this year. In addition to this, it will also use balance proceeds to repay due credits by June 2014.
Morgan Stanley & Co., HSBC Securities (USA) Inc., LLC, etc. are acting as book-running managers in partnership. Mitsubishi UFJ Securities (USA), Inc., SMBC Nikko Securities Inc., Credit Suisse Securities (USA) LLC, RBS Securities Inc., etc. the Co-managers.
The Tough Phase
Markets saw great pandemonium in the year 2013, when GOLDCORP INC. (NYSE: GG)’s stocks fell by 41% making it attractive for Buyers. Though it recovered itself from the bearish segment by almost 35% in March this year, gold mining sector once again feels the pinch of bearish market sentiments now. There is a tremendous pressure on the company to create a positive outlook among investors & shareholders. As per recent analysis on Gold Industry, Goldcorp Inc. is in bottom 5 companies, whose stock has underperformed. Goldcorp witnessed 0.35% of loss in relative performance of the stock with peer group. Other companies in bottom five are New Gold, Cia de Minas Buenaventura, Randgold Resources and Yamana Gold. It will be interesting to see how this public offering revives this company?
Company’s Introduction
Headquartered in Vancouver of British Columbia in Canada GOLDCORP INC. (NYSE: GG). is one of the fastest-growing Gold Producers in United States. Goldcorp’s mines are located in Canada, Mexico and areas of American jurisdiction.
