REG - NatWest Group plc - Tender Offer

NatwestAnnouncement

24/11/2021 12:50

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RNS Number : 4812T  NatWest Group plc  24 November 2021

THIS ANNOUNCEMENT RELATES TO THE DISCLOSURE OF INFORMATION THAT QUALIFIED AS
INSIDE INFORMATION WITHIN THE MEANING OF ARTICLE 7(1) OF THE MARKET ABUSE
REGULATION (EU) 596/2014 AS IT FORMS PART OF DOMESTIC LAW OF THE UNITED
KINGDOM BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018.

NOT FOR DISTRIBUTION IN OR INTO OR TO ANY PERSON LOCATED OR RESIDENT IN THE
UNITED STATES, ITS TERRITORIES AND POSSESSIONS (INCLUDING PUERTO RICO, THE
U.S. VIRGIN ISLANDS, GUAM, AMERICAN SAMOA, WAKE ISLAND AND THE NORTHERN
MARIANA ISLANDS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA)
OR TO ANY U.S. PERSON OR IN OR INTO ANY OTHER JURISDICTION WHERE IT IS
UNLAWFUL TO DISTRIBUTE THIS DOCUMENT

24 November 2021

NatWest Group plc (Legal Entity Identifier: 2138005O9XJIJN4JPN90) (the
"Issuer") has today launched an invitation to the holders of the outstanding
securities detailed below (the "Securities") to tender any and all such
Securities for purchase by the Issuer for cash (each such invitation an
"Offer" and, together, the "Offers"). The Offers are made on the terms and
subject to the conditions set out in the Tender Offer Memorandum dated 24
November 2021 (the "Tender Offer Memorandum") and are subject to the offer and
distribution restrictions set out below and as more fully described in the
Tender Offer Memorandum.

Copies of the Tender Offer Memorandum are (subject to offer and distribution
restrictions) available from the Registrar as set out below. Securityholders
are advised to read carefully the Tender Offer Memorandum for full details of,
and information on the procedures for participating in, the Offers.
Capitalised terms used and not otherwise defined in this announcement have the
meanings given to them in the Tender Offer Memorandum.

 Description of Securities                     ISIN          Aggregate Liquidation Preference Outstanding  Purchase Price    Amount subject to the Offer
 5.50 per cent. Cumulative Preference Shares   GB0007548026  £400,000                                      102.00 per cent.  Any and all
 11.00 per cent. Cumulative Preference Shares  GB0007548133  £500,000                                      155.00 per cent.  Any and all

(each a "Series" and together the "Securities")

THE OFFERS COMMENCE ON 24 NOVEMBER 2021 AND WILL EXPIRE AT 1.00 P.M. (LONDON
TIME) ON 14 DECEMBER 2021 (THE "EXPIRATION DEADLINE"), UNLESS AMENDED,
EXTENDED, RE-OPENED, WITHDRAWN OR TERMINATED AT THE SOLE AND ABSOLUTE
DISCRETION OF THE ISSUER.  TENDER INSTRUCTIONS, ONCE SUBMITTED, MAY, IN
PRINCIPLE, NOT BE WITHDRAWN EXCEPT IN THE LIMITED CIRCUMSTANCES OUTLINED IN
THE TENDER OFFER MEMORANDUM.

Custodians and CREST will have deadlines for receiving instructions prior to
the Expiration Deadline and holders should contact any intermediary through
which they hold their Securities as soon as possible to ensure proper and
timely delivery of instructions.

Rationale for the Offers

The Issuer is providing the holders of the Securities with an opportunity to
have their Securities repurchased while maintaining a responsible approach to
the management of the Issuer's capital position. The Issuer will continue to
meet all of its capital requirements irrespective of the outcome of the
Offers.

Amount subject to the Offers

If, in respect of either Series, the Issuer decides to accept any Securities
of such Series validly tendered for purchase pursuant to the relevant Offer,
the Issuer intends to accept all validly tendered Securities of such Series
for purchase in full with no pro rata scaling. The Issuer is not under any
obligation to accept for purchase any Securities tendered pursuant to either
Offer. The acceptance for purchase by the Issuer of Securities tendered
pursuant to each Offer is at the sole and absolute discretion of the Issuer
and tenders may be rejected by the Issuer for any reason.

Purchase Price and Accrued Dividends

The price payable in respect of the Securities accepted for purchase (in
respect of each Series, the "Purchase Price") is set out in the table above,
and is expressed as a percentage of the liquidation preference of the relevant
Securities.

In respect of any Securities accepted for purchase, the Issuer will also pay
an amount equal to any accrued and unpaid dividends on the relevant Securities
from, and including, the applicable dividend payment date for such Securities
immediately preceding the Settlement Date up to, but excluding, the Settlement
Date. The Settlement Date is expected to be 16 December 2021.

Securities repurchased by the Issuer pursuant to the Offers will be
immediately cancelled. Securities which have not been validly tendered and
accepted for purchase pursuant to the Offers will remain outstanding after the
Settlement Date.

Total Consideration

The total consideration payable to each Securityholder in respect of
Securities validly submitted for tender and accepted for purchase by the
Issuer will be an amount in cash equal to (i) the Purchase Price for the
relevant Securities multiplied by the aggregate liquidation preference of
Securities tendered and delivered by such Securityholder and accepted by the
Issuer for purchase (rounded to the nearest £0.01, with £0.005 being rounded
upwards), (ii) plus the Accrued Dividend Payment in respect of such
Securities.

Amendment and Termination

The Issuer reserves the right, in its sole and absolute discretion, to extend,
re-open, withdraw or terminate the Offers and to amend or waive any of the
terms and conditions of the Offers at any time following the announcement of
the Offers, as described in the Tender Offer Memorandum. Details of any such
extension, re-opening, withdrawal, termination, amendment or waiver will be
notified to the Securityholders as soon as possible after such decision.

Participation in the Offers

A tender of Securities for purchase may only be made by the submission of a
valid Tender Instruction, being (in the case of Securities held in CREST) a
valid TTE Instruction or (in the case of Securities not held in CREST) a valid
Non-CREST Tender Instruction, and (in the case of Securities not held in
CREST) delivery of the certificate or certificates for the relevant
Securities, in each case in accordance with the detailed procedures specified
in the Tender Offer Memorandum. Different procedures apply for participation
in the Offers in respect of (a) Securities held in CREST and (c) Securities
not held in CREST.

Indicative Timetable for the Offer

This is an indicative timetable showing one possible outcome for the timing of
the Offers based on the dates in the Tender Offer Memorandum. This timetable
is subject to change and dates and times may be extended or amended by the
Issuer in accordance with the terms of the Offers as described in the Tender
Offer Memorandum. Accordingly, the actual timetable may differ significantly
from the timetable below.

 

 

 Date                         Action
 24 November 2021             Commencement of the Offers
                              Offers announced by way of announcements on the relevant Notifying News
                              Service(s) and via RNS.
                              Tender Offer Memorandum available from the Registrar.
 14 December 2021 1.00 p.m.,  Expiration Deadline

 London time                  Deadline for receipt by the Registrar of all Tender Instructions in order for
                              Securityholders to be able to participate in the Offers.
 15 December 2021             Announcement of Result of Offers

                              Announcement of the Issuer's decision whether to accept valid tenders of
                              Securities for purchase pursuant to the Offers to Securityholders.
                              Details of:
                              (i)           the aggregate liquidation preference of the Securities
                              of each Series validly tendered pursuant to the Offers prior to the Expiration
                              Deadline and accepted for purchase; and
                              (ii)          the liquidation preference of Securities of each Series
                              that will remain outstanding after the Settlement Date,
                              distributed by way of announcements on the relevant Notifying News Service(s)
                              and via RNS.
 16 December 2021             Settlement Date

                              Expected Settlement Date for the Offers to Securityholders.  Payment of
                              Purchase Consideration and Accrued Dividend Payment in respect of the Offers
                              to Securityholders.

Unless stated otherwise, announcements in connection with the Offers will be
made via RNS
(http://www.londonstockexchange.com/exchange/news/market-news/market-newshome.html).
Such announcements may also be made by (i) the issue of a press release to a
Notifying News Service and (ii) the posting of notices to the registered
address of holders of the Securities. Copies of all such announcements,
notices and press releases can also be obtained from the Registrar, the
contact details for whom are on the last page of this announcement.
Significant delays may be experienced where notices are sent by post and
Securityholders are urged to contact the Registrar, as applicable, for the
relevant announcements relating to the Offers.

Tender Instructions

To tender Securities for purchase pursuant to an Offer, a holder of Securities
should:

(a)           where such Securities are not held in CREST, complete
and deliver, or arrange to have delivered on its behalf, a Non-CREST Tender
Instruction (in the form posted to the holder of Securities together with the
Tender Offer Memorandum and available from the Registrar on request) for
receipt by the Registrar by the Expiration Deadline and deliver to the
Registrar the certificate or certificates for the Securities which are the
subject of such Non-CREST Tender Instruction together with the Non-CREST
Tender Instruction; and

(b)           where such Securities are held in CREST, not later
than the Expiration Deadline, send (or, in the case of CREST sponsored
members, procure that their CREST sponsor sends) a TTE Instruction to EUI,
which must be properly authenticated in accordance with EUI's specifications,
containing the relevant information set out in the Tender Offer Memorandum.

Securityholders are advised to check with any bank, securities broker or other
intermediary through which they hold Securities whether such intermediary
needs to receive instructions from a Securityholder before the deadline
specified in the Tender Offer Memorandum in order for that Securityholder to
be able to participate in, or (in the limited circumstances in which
revocation is permitted) revoke their instruction to participate in, the
Offers. The deadlines set by any intermediary and (where applicable) CREST for
the submission and withdrawal of Tender Instructions and (where applicable)
TTE Instructions will also be earlier than the relevant deadline specified in
the Tender Offer Memorandum.

Securityholders are advised to read carefully the Tender Offer Memorandum for
full details of and information on the procedures for participating in the
Offer.

NatWest Markets Plc is acting as Sole Dealer Manager for the Offers and
Computershare Investor Services PLC is acting as the Registrar.

Questions and requests for assistance in connection with the Offers may be
directed to the Sole Dealer Manager.

 THE STRUCTURING ADVISER AND SOLE DEALER MANAGER
 NatWest Markets Plc

 250 Bishopsgate

 London EC2M 4AA

 Telephone: +44 20 7678 5222

 Attention: Liability Management

 Email: NWMLiabilityManagement@natwestmarkets.com

Questions and requests for assistance in connection with the delivery of
Tender Instructions, or requests for copies of the Tender Offer Memorandum or
related documents, which may be obtained free of charge, may be directed to
the Registrar.

 THE REGISTRAR

 Computershare Investor Services PLC

 Corporate Actions Projects

 The Pavilions

 Bridgwater Road

 Bristol

 BS99 6AH

 Telephone: +44 (0)370 702 0135

 

This announcement is released by NatWest Group plc and contains information
that qualified as inside information for the purposes of Article 7 of the
Market Abuse Regulation (EU) 596/2014 ("MAR") as it forms part of domestic law
of the United Kingdom by virtue of the European Union (Withdrawal) Act 2018,
encompassing information relating to the Offers described above. For the
purposes of MAR and Article 2 of Commission Implementing Regulation (EU)
2016/1055 as it forms part of UK retained law, this announcement is made by
Paul Pybus, Head of Debt Investor Relations, on behalf of NatWest Group plc.

DISCLAIMER This announcement must be read in conjunction with the Tender Offer
Memorandum. This announcement and the Tender Offer Memorandum contain
important information which should be read carefully before any decision is
made with respect to the Offers. If you are in any doubt as to the contents of
this announcement or the Tender Offer Memorandum or the action you should
take, you are recommended to seek your own financial, tax and legal advice,
including as to any tax consequences, immediately from your broker, bank
manager, solicitor, accountant or other independent financial or legal
adviser. Any individual or company whose Securities are held on its behalf by
a broker, dealer, bank, custodian, trust company or other nominee or
intermediary must contact such entity if it wishes to participate in the
Offers. None of the Issuer, the Sole Dealer Manager or the Registrar is
providing Securityholders with any legal, business, tax or other advice in
this announcement or the Tender Offer Memorandum. Securityholders should
consult with their own advisers as needed to assist them in making an
investment decision and to advise them whether they are legally permitted to
participate in the Offers.

None of the Sole Dealer Manager, the Issuer or the Registrar (or any of their
respective directors, officers, employees, agents or affiliates) makes any
recommendation whatsoever or regarding this announcement, the Tender Offer
Memorandum or the Offers or whether any Securityholder should submit Tender
Instructions or refrain from doing so, and no one has been authorised by any
of them to make any such recommendation. Neither Dealer Manager nor the
Registrar (or any of their respective directors, officers, employees, agents
or affiliates) makes any representation or assumes any responsibility for: (a)
the accuracy or completeness of the information concerning the Offers or the
Issuer contained in this announcement or in the Tender Offer Memorandum or for
any failure by the Issuer to disclose events that may have occurred and may
affect the significance or accuracy of the information in this announcement or
the Tender Offer Memorandum; or (b) any acts or omissions of the Issuer or any
other person in connection with this announcement, the Tender Offer
Memorandum, the Offer or the Securities. None of the Sole Dealer Manager, the
Issuer or the Registrar (or any of their respective directors, officers,
employees, agents or affiliates) has expressed any opinion as to whether the
terms of the Offers are fair.

Offer and Distribution Restrictions

Neither this announcement nor the Tender Offer Memorandum constitutes an
invitation to participate in the Offers in any jurisdiction in which, or to
any person to or from whom, it is unlawful to make such invitation or for
there to be such participation under applicable securities laws. The
distribution of this announcement and the Tender Offer Memorandum in certain
jurisdictions may be restricted by law. Persons into whose possession this
announcement or the Tender Offer Memorandum comes are required by each of the
Issuer, the Sole Dealer Manager and the Registrar to inform themselves about
and to observe any such restrictions.

United States

The Offers are not being made and will not be made, directly or indirectly, in
or into, or by use of the mails of, or by any means or instrumentality of
interstate or foreign commerce of, or of any facilities of a national
securities exchange of, the United States or to any U.S. Person (as defined in
Regulation S of the United States Securities Act of 1933, as amended (each a
"U.S. Person")). This includes, but is not limited to, facsimile transmission,
electronic mail, telex, telephone, the internet and other forms of electronic
communication. Accordingly, copies of this announcement, the Tender Offer
Memorandum and any other documents or materials relating to the Offers are not
being, and must not be, directly or indirectly, mailed or otherwise
transmitted, distributed or forwarded (including, without limitation, by
custodians, nominees or trustees) in or into the United States or to a U.S.
Person and the Securities cannot be tendered in the Offers by any such use,
means, instrumentality or facility or from or within or by persons located or
resident in the United States or by any U.S. Person. Any purported tender of
Securities in the Offers resulting directly or indirectly from a violation of
these restrictions will be invalid and any purported tender of Securities made
by a person located in the United States, a U.S. Person, by any person acting
for the account or benefit of a U.S. Person, or by any agent, fiduciary or
other intermediary acting on a non-discretionary basis for a principal giving
instructions from within the United States will be invalid and will not be
accepted.

Each holder of Securities participating in an Offer will represent that it is
not a U.S. Person located in the United States and is not participating in
such Offer from the United States, or it is acting on a non-discretionary
basis for a principal located outside the United States that is not giving an
order to participate in such Offer from the United States and who is not a
U.S. Person. For the purposes of this and the above paragraph, "United States"
means the United States of America, its territories and possessions (including
Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, Wake Island and
the Northern Mariana Islands), any state of the United States of America and
the District of Columbia.

United Kingdom

The communication of this announcement, the Tender Offer Memorandum and any
other documents or materials relating to the Offers is not being made, and
such documents and/or materials have not been approved, by an authorised
person for the purposes of section 21 of the Financial Services and Markets
Act 2000. Accordingly, such documents and/or materials are not being
distributed to, and must not be passed on to, the general public in the United
Kingdom. The communication of such documents and/or materials as a financial
promotion is only being made to those persons in the United Kingdom falling
within the definition of investment professionals (as defined in Article 19(5)
of the Financial Services and Markets Act 2000 (Financial Promotion) Order
2005 (the "Financial Promotion Order")) or persons who are within Article
43(2) of the Financial Promotion Order (which includes an existing creditor of
the Issuer and, therefore, includes the Securityholders) or any other persons
to whom it may otherwise lawfully be made under the Financial Promotion Order.

France

The Offers are not being made, directly or indirectly, in the Republic of
France ("France") other than to qualified investors (investisseurs qualifiés)
as defined in Article L.411-2 1° of the French Code monétaire et financier.
Neither this announcement, the Tender Offer Memorandum nor any other documents
or materials relating to the Offers have been or shall be distributed in
France other than to qualified investors (investisseurs qualifiés) and only
qualified investors (investisseurs qualifiés) are eligible to participate in
the Offers. This announcement, the Tender Offer Memorandum and any other
document or material relating to the Offers have not been and will not be
submitted for clearance to nor approved by the Autorité des marchés
financiers.

Belgium

Neither this announcement, the Tender Offer Memorandum nor any other documents
or materials relating to the Offers have been submitted to or will be
submitted for approval or recognition to the Belgian Financial Services and
Markets Authority and, accordingly, the Offers may not be made in Belgium by
way of a public offering, as defined in Article 3 of the Belgian Law of 1
April 2007 on public takeover bids, as amended or replaced from time to time.
Accordingly, the Offers may not be advertised and the Offers will not be
extended, and neither this announcement, the Tender Offer Memorandum nor any
other documents or materials relating to the Offers (including any memorandum,
information circular, brochure or any similar documents) has been or shall be
distributed or made available, directly or indirectly, to any person in
Belgium other than "qualified investors" within the meaning of Article 10 of
the Belgian Law of 16 June 2006 on public offerings of investment instruments
and the admission of investment instruments to trading on regulated markets
(as amended from time to time).

Italy

None of the Offers, this announcement, the Tender Offer Memorandum or any
other documents or materials relating to the Offers have been or will be
submitted to the clearance procedure of the Commissione Nazionale per le
Società e la Borsa ("CONSOB").

The Offers are being carried out in the Republic of Italy as an exempted
offers pursuant to article 101-bis, paragraph 3-bis of the Legislative Decree
No. 58 of 24 February 1998, as amended (the "Financial Services Act") and
article 35-bis, paragraph 4 of CONSOB Regulation No. 11971 of 14 May 1999.

Securityholders, or beneficial owners of the Securities, can tender some or
all of their Securities pursuant to the Offers through authorised persons
(such as investment firms, banks or financial intermediaries permitted to
conduct such activities in Italy in accordance with the Financial Services
Act, CONSOB Regulation No. 20307 of 15 February 2018, as amended from time to
time, and Legislative Decree No. 385 of 1 September 1993, as amended) and in
compliance with applicable laws and regulations or with requirements imposed
by CONSOB or any other Italian authority.

Each intermediary must comply with the applicable laws and regulations
concerning information duties vis-à-vis its clients in connection with the
Securities or the Offers.

General

Neither this announcement, the Tender Offer Memorandum nor the electronic
transmission thereof constitutes an offer to buy or the solicitation of an
offer to sell Securities (and tenders of Securities for purchase pursuant to
the Offers will not be accepted from Securityholders) in any circumstances in
which such offer or solicitation is unlawful. In those jurisdictions where the
securities, blue sky or other laws require an Offer to be made by a licensed
broker or dealer and the Sole Dealer Manager or any of its affiliates is such
a licensed broker or dealer in any such jurisdiction, such Offer shall be
deemed to be made by the Sole Dealer Manager or such affiliate, as the case
may be, on behalf of the Issuer in such jurisdiction.

In addition to the representations referred to above in respect of the United
States, each Securityholder participating in an Offer will be deemed to give
certain representations in respect of the other jurisdictions referred to
above and generally as described in the Tender Offer Memorandum. Any tender of
Securities for purchase pursuant to the Offers from a Securityholder that is
unable to make these representations will not be accepted.

Each of the Issuer, the Sole Dealer Manager and the Registrar reserves the
right, in its sole and absolute discretion, to investigate, in relation to any
tender of Securities for purchase pursuant to an Offer, whether any such
representation given by a Securityholder is correct and, if such investigation
is undertaken and as a result the Issuer determines (for any reason) that such
representation is not correct, such tender or submission may be rejected.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

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