Mitsubishi Corporation (MC) today announced that it plans to issue hybrid bonds, targeted primarily at institutional investors in the domestic market.

  1. Objectives of Hybrid Bond Issuance

Through the issuance of these hybrid bonds, which follow a similar issuance (of 200 billion yen) in June of last year, MC is aiming to achieve capital and financial targets in keeping with the corporate policies outlined in Midterm Corporate Strategy 2018, the company's current corporate strategy released on May 10, 2016.

  1. Issuance Schedule

MC today submitted an Amended Shelf Registration Statement to the Director-General of the Kanto Local Finance Bureau with regard to this hybrid bond issuance. Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. has been appointed as book-runner for the hybrid bond, with Mizuho Securities Co., Ltd. and SMBC Nikko Securities Inc. as joint book-runners. An offering will follow, subject to market conditions, by early September 2016.

  1. Characteristics of Hybrid Financing

Hybrid Financing is classified as a form of financial liability in accounting. This type of financing has a longer maturity than senior bonds and loans and allows the issuer the option to defer interest payment while its payment priority can be considered as subordinated debt in bankruptcy proceedings. Under the terms and conditions of Hybrid Financing, MC expects it will be eligible for 50% equity treatment from rating agencies. I

This announcement is intended as general information regarding the issuance of securities. This announcement is not for distribution, directly or indirectly, in or into the United States (including its territories and possessions, any State of the United States and the District of Columbia). This announcement does not constitute or form a part of any offer of, or the solicitation of an offer to buy or subscribe for, securities in the United States or in any jurisdiction in which such offer or solicitation is unlawful. The securities have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the 'Securities Act') and may not be offered or sold within the United States or to, or for the account or benefit of, US persons (as such term is defined in Regulation S under the Securities Act), absent registration or an exception from registration under the Securities Act. No public offering of the securities will be made in the United States.

Mitsubishi Corporation published this content on 18 August 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 27 August 2016 15:29:05 UTC.

Original documenthttp://www.mitsubishicorp.com/jp/en/pr/archive/2016/html/0000030918.html

Public permalinkhttp://www.publicnow.com/view/3F3B5B51782ADBA44DB1CF441BC709AEEE70DF43