KPN Repurchases €407M in Hybrid Securities and Intends to Redeem Remaining Balance
Launched on September 1, 2026 and closed on September 8, the offer by Dutch telecom operator leaves €93M in securities in circulation, which the group intends to redeem early.
€407M in Securities Accepted at Price of 102.608%
Koninklijke KPN N.V. announced on September 9, 2026 the results and pricing of its repurchase offer relating to its perpetual fixed-rate resettable hybrid securities in the amount of €500M (ISIN XS2486270858), with the first reset date set for December 21, 2027.
The company accepted for repurchase a nominal amount of €407M in validly tendered securities. The repurchase price retained stands at 102.608% of par, for a repurchase yield of 3.379% and a reference rate of 2.879%.
The nominal amount of securities remaining in circulation after the settlement date will amount to €93M.
Hybrid Financing and Redemption of Non-Tendered Securities
The offer is financed by a portion of the proceeds from a €500M perpetual hybrid bond with a 4.625% coupon, not redeemable for 5.25 years (first reset date on December 9, 2031, ISIN XS3485542800), the price of which was set on September 1, 2026. KPN stated that this transaction aims to manage its hybrid capital layer and optimize its interest costs.
As the amount tendered and accepted exceeds the 75% threshold provided for in the terms of the securities (substantial repurchase redemption clause), KPN announced its intention to exercise the early redemption option and redeem at par value all non-tendered securities, once the required conditions are satisfied.
Settlement of the offer is expected on September 10, 2026, subject to satisfaction of the new financing condition. Barclays and ING acted as Dealer Managers and Kroll Issuer Services Limited acts as offer agent.
