Ampol Limited (ASX:ALD) has announced the commencement of a wholesale offering of an A$500 million delayed-draw subordinated notes facility. Ampol is a leading Australian petroleum company and convenience retailer, supplying Australia’s largest network of branded service stations. It also operates as a refiner, importer, and distributor of fuels and lubricants.
The facility includes a delayed-draw feature, providing Ampol with committed, long-dated funding. This offers the flexibility to issue the subordinated notes in up to two tranches of A$250 million each. The availability period extends to 31 January 2027, subject to customary closing conditions. The subordinated notes will have a 12-year non-call period from the initial tranche’s issue date and a final maturity of 30 years from that date.
Net proceeds from the facility are earmarked to partly fund the cash component of Ampol’s proposed acquisition of EG Australia, subject to completion. Approximately A$250 million will be allocated to this purpose, while another A$250 million will be used to partly refinance the A$500 million of subordinated notes callable in March 2027. Greg Barnes, Group Chief Financial Officer, highlighted the facility’s value as long-dated capital linked to the EG Australia acquisition and future hybrid refinancing initiatives.
Ampol has already secured binding underwriting commitments for the full A$500 million facility from a group of institutional investors. The offer is now extended to other institutional investors, with the closing date expected on or about 19 December 2025, subject to customary conditions. The subordinated notes are anticipated to receive 50% equity credit from Moody’s Investors Service, consistent with Ampol’s existing subordinated notes. The key terms of the subordinated notes are outlined in the Appendix to the release.
