Britain's Ferrexpo plc with assets in Ukraine has received applications for refinancing of 43% of its outstanding $500 million 7.875% guaranteed notes due 2016, the company has reported on the London Stock Exchange (LSE).

According to the report, the issue has decided to waive the minimum participation condition and will accept in full all existing notes which were validly submitted. The issuer intends to issue $160.724 million in aggregate principal amount of new notes on the settlement date, expected to be on or about 24 February 2015, and pay an aggregate principal amount of cash consideration of $53.583 million on the settlement date.

Following the settlement date, $285.669 million in aggregate principal amount of existing notes will remain outstanding.

As reported, on January 19, Ferrexpo proposed that holders of its eurobond worth $500 million due on April 7, 2016 exchange them to new notes due on April 7, 2019.

Ferrexpo plans to issue guaranteed eurobonds at the interest rate of 10.375% per annum due on April 7, 2019 in the course of restructuring of the existing guaranteed eurobonds of the interest rate 7.875% per annum due on April 7, 2016. It was planned that existing bonds tendered before the early exchange deadline will receive a cash pre-payment equal to 20% of the nominal amount of the bonds with the remaining 80% exchanged for new notes.

On February 4, 2015 the company extended the early exchange deadline in respect of the exchange offer for its guaranteed notes from February 2 to February 17, 2015.

On February 6, the issuer decided to increase the cash consideration to be received in the exchange offer for guaranteed notes from 20% to 25% of the face value. The company extended the exchange deadline to February 20, 2015.