The City Of Buenos Aires Announces Commencement Of A Cash Tender Offer For Up To U.S.$390,000,000 In Aggregate Principal Amount Of Its 9.95 Per Cent Series 10 Notes Due 2017

CITY OF BUENOS AIRES, Argentina, May 13, 2016 /PRNewswire/ -- The City of Buenos Aires (the "City") announced today the commencement of an offer to purchase for cash (the "Offer") up to U.S.$390,000,000 in aggregate principal amount (the "Maximum tender Amount") of its 9.95 per cent Series 10 Notes due 2017 (the "Series 10 Notes"). The terms and conditions of the Offer are set forth in the Offer to Purchase, dated May 13, 2016 (the "Offer to Purchase").

The City commenced today the offering of a series of notes under its U.S.$2,290,000,000 Medium Term Note Programme (the "Series 12 Notes"), and intends to use a portion of any such proceeds to pay the purchase price for its Series 10 Notes if any are acquired pursuant to the terms and subject to the conditions contained in the Offer to Purchase.

The Offer is not conditioned upon any minimum participation by the holders of the Series 10 but is conditioned on the satisfaction or waiver by the City of the conditions described in the Offer to Purchase, the closing of the Series 12 Notes offering and the dealer manager agreement relating to the Offer not being terminated prior to or at the time of the settlement of the Offer.

The table below summarizes certain payment terms of the Offer:

The tender period (the "Tender Period") will commence on May 13, 2016 and expire at 5:00 p.m., New York City time, on May 23, 2016 unless extended or earlier terminated by the City in its sole discretion.

The settlement of the Offer is conditioned on the closing of the Series 12 Notes offering and the other terms and conditions set forth in the Offer to Purchase. The settlement of the Offer is scheduled to occur on June 1, 2016 ("Settlement Date").

The purchase price to be paid for the Series 10 Notes will be U.S.$1,055.00 for each U.S.$1,000 principal amount of the Series 10 Notes. Holders of Series 10 Notes participating in the Offer will also receive any accrued and unpaid interest on their Series 10 Notes from, and including, the last interest payment date for such Series 10 Notes to, but not including, the Settlement Date. Tenders that are accepted will be settled solely by the City on the Settlement Date, subject to the terms and conditions of the Offer.

During the Tender Period, a holder of Series 10 Notes may place orders to tender Series 10 Notes ("Tender Orders") through DTC, Euroclear or Clearstream, Luxembourg. Holders of the Series 10 Notes will not have withdrawal rights with respect to the Offer, unless required by applicable law.

Tender Orders by a holder of Series 10 Notes must be of principal amounts of at least U.S.$200,000 and integral multiples of U.S.$1,000 in excess thereof ("Permitted Tender Amounts"). Tender Orders that are not for Permitted Tender Amounts will not be accepted.

Because the Offer is subject to the Maximum Tender Amount, if the aggregate principal amount of all tenders exceeds the Maximum Tender Amount, then each tender shall be prorated down, proportionately to the relative size of such tenders of Series 10 Notes to all tenders, so that the aggregate principal amount of all tenders that are accepted by the City equals the Maximum Tender Amount. To the extent proration occurs in the Offer, the City will accept Series 10 Notes with appropriate adjustments to avoid purchase of the Series 10 Note in principal amounts other than Permitted Tender Amounts. All Series 10 Notes not accepted as a result of proration will be rejected and returned to holders.

The City reserves the right, in its sole discretion, not to accept any tender for any reason or to extend, re-open, amend or terminate the Offer in its sole discretion.

The Dealer Managers for the Offer are:

Questions regarding the Offer may be directed to the Dealer Managers at the above contact.

The Offer to Purchase, as well as other relevant notices and documents, will also be available on the Offer Website http://sites.dfkingltd.com/CityofBA, operated by the Tender and Information Agent for the purpose of the Offer to Purchase.

The Tender and Information Agent for the Offer is D.F. King & Co., Inc.

Email: [email protected]

Offer Website: http://sites.dfkingltd.com/CityofBA

Holders of the Notes are urged to read the Offer to Purchase carefully. Any questions or requests for assistance in relation to the Offer to Purchase may be directed to the Dealer Managers at their respective telephone numbers set forth above or to the holder's broker, dealer, commercial bank, trust company or other nominee for assistance concerning the Offer. Requests for additional copies of the Offer to Purchase may be directed to the Tender and Information Agent at the addresses and telephone numbers set forth above.

This release shall not be construed as an offer to purchase or a solicitation of an offer to purchase any of the Series 10 Notes or any other securities.

The Offer is not being made in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. None of the City, the Bank of New York Mellon as trustee, principal paying agent and calculation agent, registrar, exchange agent, transfer agent and listing agent, the Dealer Managers or the Information and Tender Agent makes any recommendation as to whether or not holders should tender their Series 10 Notes pursuant to the Offer.

Forward-Looking Statements
This notice includes and references "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may relate to, among other things, the City's strategy, goals and expectations.

Although the City believes the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate and the forward-looking statements based on these assumptions could be incorrect.

The matters discussed in these forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results and trends to differ materially from those made, projected, or implied in or by the forward-looking statements depending on a variety of uncertainties or other factors. The City undertakes no obligation to update any of its forward-looking statements.

SOURCE City of Buenos Aires

Related Links

http://sites.dfkingltd.com/CityofBA