Release Details

Immediate Report - Results of public debt offering

December 21, 2021

Immediate Report - Results of Public Offering According to the Company’s Shelf Offering Report

Notice is hereby given, in accordance with Section 30 of the Securities Law, 1968 (hereinafter - the “Securities Law”) and the Securities Regulations (Announcement of Results of an Offering in a Prospectus), 1969, of the results of the offering of the Company’s Debentures (Series 13 & 14), pursuant to the Company’s Shelf Offering Report dated December 21, 2021, (hereinafter - the “Shelf Offering Report”), which was published pursuant to the prospectus for listing and release of restrictions and the Company’s shelf prospectus bearing the date April 8, 2020, which was published on April 7, 2020 (hereinafter - the “Shelf Prospectus” or the “Prospectus”).

Results of the public tender for Debentures (Series 13) (hereinafter - "Tender 13"):

1.1. According to the Shelf Offering Report, the Company offered to the public up to NIS 244,445,000 par value in registered Debentures (Series 13), of NIS 1 par value each (hereinafter - the “Debentures (Series 13)” or the “Offered Debentures (Series 13)”, subject to the quantity limit stipulated in Section 1.1.4 of the Shelf Offering Report, according to which the actual quantity to be issued shall be up to NIS 200,000,000 par value Debentures (Series 13) (hereinafter - the “Limit”).

1.2. The Debentures (Series 13) offer was not secured by underwriting.

1.3. Debentures (Series 13) are not linked (principal and interest) to any linkage base.

1.4. The Offered Debentures (Series 13) were offered to the public in 244,445 units, each composed of NIS 1,000 par value Debentures (Series 13) (hereinafter - “Series 13 Units”), in a uniform offering as stated in Chapter 2 of the Securities Regulations (Manner of Offering Securities to the Public), 2007, by way of a tender on the interest rate to be borne by the Debentures (Series 13), which shall not exceed 2.79% (hereinafter - the “Maximum Interest Rate of Debentures (Series 13)”).

1.5. Qualified investors subscribed to submit applications to purchase 200,000 Series 13 Units in quantities and at interest rates as specified in the Shelf Offering Report.

1.6. Tender 13 (Tender No.: 2300259) commenced on the date of publication of the Shelf Offering Report, namely, on Tuesday, December 21, 2021, and ended on Wednesday, December 22, 2021 at 3:30 pm, as set out in the Shelf Offering Report.

1.7. As part of Tender 13, a total of 51 orders were received for the purchase of 202,390 Series 13 Units (including orders from 36 qualified investors for the purchase of 200,000 Series 13 Units), for a monetary amount of NIS 202,390,000 (hereinafter - the “Series 13 Unit Orders”).

1.8. The annual interest rate stipulated in Tender 13 is 2.79% (hereinafter - the “Closing Interest Rate of the Debentures (Series 13)”).

1.9. In accordance with the Limit as stated in Section ‎1.1, a total of 200,000,000 Debentures (Series 13) bearing annual interest at a rate of 2.79% will be allocated, as detailed below:

  1.9.1. 30 orders of qualified investors to purchase 150,317 Series 13 Units set at interest lower than the Closing Interest Rate of the Debentures (Series 13), would receive 98.8% (a    total of 148,544 Series 13 Units).

  1.9.2. 6 orders of qualified investors to purchase 610 Series 13 Units set at interest lower than the Closing Interest Rate of the Debentures (Series 13), would receive 98.8% (a total    of 601 Series 13 Units).

  1.9.3. 6 orders of qualified investors to purchase 49,683 Series 13 Units set at the Closing Interest Rate of the Debentures (Series 13), would receive 98.8% (a total of 49,097 Series    13 Units).

  1.9.4. 9 orders of qualified investors to purchase 1,780 Series 13 Units set at the Closing Interest Rate of the Debentures (Series 13), would receive 98.8% (a total of 1,758 Series        13 Units).

1.10. Pursuant to the Closing Interest Rate of the Debentures (Series 13) as set out in Tender 13 as stated in Section ‎1.8, the semi-annual interest rate to be paid for the Debentures (Series 13) is 1.395%.

1.11. The first installment of the interest on the Debentures (Series 13), will be paid for the period from the date of settlement, namely, December 23, 2021, and until May 31, 2022 (inclusive), and the interest rate for this period shall amount to 1.22301%.

1.12. Whereas Debentures (Series 13) are offered pursuant to the Shelf Offering Report at their par value, they shall be issued without discount for tax purposes.

1.13. The overall (gross) consideration to be received by the Company for the Debentures (Series 13) that will be allocated pursuant to the Shelf Offering Report, amounts to NIS 200,000,000.

 

2. Results of the public tender for the Debentures (Series 14) (hereinafter - "Tender 14"):

 

2.1. According to the Shelf Offering Report, the Company offered the public up to NIS 244,445,000 par value registered Debentures (Series 14), of NIS 1 par value each (hereinafter - the “Debentures (Series 14)” or the “Offered Debentures (Series 14)”, subject to the quantity limit stipulated in Section 1.2.4 of the Shelf Offering Report, according to which the actual quantity to be issued shall be up to NIS 200,000,000 par value Debentures (Series 14) (hereinafter - the “Limit”).

2.2. The Debentures (Series 14) offer was not secured by underwriting.

2.3. The principal and interest of the Debentures (Series 14) shall be linked to the Consumer Price Index published on December 15, 2021, in respect of November 2021 (hereinafter - the “Basic Index”), as detailed in Section 4.10.2 of the Shelf Offering Report.

2.4. The Offered Debentures (Series 14) were offered to the public in 244,445 units, each composed of NIS 1,000 par value Debentures (Series 14) (hereinafter - “Series 14 Units”), in a uniform offering as stated in Chapter 2 of the Securities Regulations (Manner of Offering Securities to the Public), 2007, by way of a tender on the interest rate to be borne by the Debentures (Series 14), which shall not exceed 0.58% (hereinafter - the “Maximum Interest Rate of Debentures (Series 14)”).

2.5. Qualified investors subscribed to submit applications to purchase 200,000 Series 14 Units in quantities and at interest rates as stipulated in the Shelf Offering Report.

2.6. Tender 14 (Tender No.: 2300267) commenced on the date of publication of the Shelf Offering Report, namely, on Tuesday, December 21, 2021, and ended on Wednesday, December 22, 2021 at 3:30 pm, as set out in the Shelf Offering Report.

2.7. As part of Tender 14, a total of 47 orders were received for the purchase of 202,160 Series 14 Units (including orders from 31 qualified investors for the purchase of 200,000 Series 14 Units), for a monetary amount of NIS 202,160,000 (hereinafter - the “Series 14 Unit Orders”).

2.8. The annual interest rate stipulated in Tender 14 is 0.58% (hereinafter - the “Closing Interest Rate of the Debentures (Series 14)”).

2.9. In accordance with the Limit as stated in Section ‎2.1. above a total of 200,000,000 Debentures (Series 14) bearing annual interest at a rate of 0.58% will be allocated, as detailed below:

  2.9.1. 26 orders of qualified investors to purchase 173,617 Series 14 Units set at interest lower than the Closing Interest Rate of the Debentures (Series 14), would receive 98.9% (a    total of 171,762 Series 14 Units).

  2.9.2. 9 orders of qualified investors to purchase 820 Series 14 Units set at interest lower than the Closing Interest Rate of the Debentures (Series 14), would receive 98.9% (a total    of 811 Series 14 Units).

  2.9.3. 5 orders of qualified investors to purchase 26,383 Series 14 Units set at the Closing Interest Rate of the Debentures (Series 14), would receive 98.9% (a total of 26,101 Series    14 Units).

  2.9.4. 7 orders of qualified investors to purchase 1,340 Series 14 Units set at the Closing Interest Rate of the Debentures (Series 14), would receive 98.9% (a total of 1,326 Series        14 Units).

2.10. Pursuant to the Closing Interest Rate of the Debentures (Series 14) as set out in Tender 14as stated in Section‎2.1above, the semi-annual interest rate to be paid for the Debentures (Series 14) is 0.29%.

2.11. The first installment of the interest on the Debentures (Series 14), will be paid for the period from the date of settlement, namely, December 23, 2021, and until May 31, 2022 (inclusive), and the interest rate for this period shall amount to 0.25425%.

2.12. Whereas Debentures (Series 14) are offered pursuant to the Shelf Offering Report at their par value, they shall be issued without discount for tax purposes.

2.13. The overall (gross) consideration to be received by the Company for the Debentures (Series 14) that will be allocated pursuant to the Shelf Offering Report, amounts to NIS 200,000,000.

The Company thanks the investor community for its response to the Offering in the Shelf Offering Report.

Yours sincerely,

“Bezeq” The Israel Telecommunication Corp Limited

The above information constitutes a translation of the Immediate Report published by the Company. The Hebrew version was submitted by the Company to the relevant authorities pursuant to Israeli law, and represents the binding version and the only one having legal effect. This translation was prepared for convenience purposes only.

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