KPN Issues €500 Million Hybrid Bond and Launches Debt Tender Offer

Koninklijke KPN N.V. has taken proactive steps to manage its hybrid capital and reduce interest costs, announcing a €500 million Hybrid Bond and a tender offer to repurchase existing debt on September 1, 2026.

KPN plans to issue a new five-year subordinated bond, classified as 50% equity and 50% debt by ratings agencies S&P and Fitch. The bond, set to mature in 2031, will primarily be used for general corporate purposes and to refinance existing debt. The company expects the bond to be accounted for as equity under IFRS standards.

Simultaneously, KPN has launched a debt tender offer to repurchase its existing perpetual hybrid capital securities with a first reset date on December 21, 2027 (ISIN: XS2486270858). The tender offer terms are detailed in the Tender Offer Memorandum, which can be obtained from the Tender Agent.

These financial maneuvers are part of KPN’s strategy to optimize its capital structure and lower ongoing interest expenses. The tender offer and bond issuance are subject to the satisfaction or waiver of certain conditions, including the New Financing Condition, as outlined in the Tender Offer Memorandum.

The tender offer will remain open until 5:00 p.m. CEST on September 8, 2026, unless extended. Barclays and ING have been appointed as joint structuring advisors, while Barclays, Deutsche Bank, ING, Intesa Sanpaolo, Rabobank, Santander, and SEB are serving as joint lead managers for the new Hybrid Bond offering. Barclays and ING are also acting as dealer managers for the tender offer.

For more information, contact Matthijs van Leijenhorst, Head of Investor Relations at Royal KPN N.V. The company is committed to maintaining transparency in its financial dealings and has designated this as inside information.