Motorola to buy back US$400 million of debt

US telecoms equipment vendor Motorola has launched two cash tender offers to purchase up to US$400 million of its outstanding debt securities, in an effort to lower interest costs.

In the first tender, the Schaumburg-based firm is offering to purchase any and all of its outstanding 5.22 per cent debentures due 2097.

In the second, a Dutch auction offer, the firm is offering to buy some of its US$1.11 billion worth of 6.5 per cent debentures due in 2025 and 2028, and its 6.625 per cent senior notes due in 2037.

J.P. Morgan Securities, Deutsche Bank Securities and HSBC Securities (USA) are operating as lead dealer managers.