Harmony Gold launches US$500 million convertible bonds due 2031

Harmony Gold Mining Company Limited announced the launch of a US$500 million offering of guaranteed senior unsecured convertible bonds due 2031. The bonds are expected to carry a coupon of 1.500% to 2.000% and a conversion premium of 35.0% to 40.0% above a reference share price set at pricing.

Harmony Gold is launching a sizeable convertible-bond raise to reshape its funding mix from what management calls a position of balance-sheet strength.

The offering

On September 21, 2026, Harmony Gold Mining Company Limited (JSE: HAR) announced the launch of an offering of US$500 million guaranteed senior unsecured convertible bonds due 2031. The bonds are expected to be issued at 100% of principal, in denominations of US$200,000 per bond, and—unless previously redeemed, converted, or purchased and cancelled—to be redeemed at principal on or around September 29, 2031.

The bonds are expected to pay a coupon of between 1.500% and 2.000% per annum, payable semi-annually in arrear on March 29 and September 29, with the first interest payment scheduled for March 29, 2027. The initial conversion price is expected to be set at a premium of 35.0% to 40.0% above a reference share price tied to a concurrent delta placement, converted into U.S. dollars at the USD/ZAR rate at pricing.

Harmony said the bonds would, subject to adjustments, be convertible into approximately 18.9 million ordinary shares—about 2.9% of current issued ordinary share capital—based on the September 18, 2026 close of ZAR 319.71 (about $19.62) and a 35.0% conversion-premium assumption. On conversion, Harmony may elect to deliver shares or use a net-share settlement option that pays cash up to principal and delivers shares for any residual conversion value.

Guarantors and use of proceeds

Payments on the bonds will be guaranteed by a group of Harmony subsidiaries and affiliates, including Harmony Gold (Australia) Pty Limited, African Rainbow Minerals Gold Limited, Avgold Limited, and other operating entities named in the announcement. Net proceeds are intended for general corporate purposes. Chief executive Beyers Nel said the offering is meant to enhance funding efficiency, diversify capital sources, and optimize the funding profile while keeping the capital programme fully funded.

What the announcement does not settle

Final coupon, conversion premium, and conversion price will be set at pricing. The September 21 Form 6-K is a launch announcement, not a close. Jurisdiction legends restrict distribution in Australia, Canada, Japan, and other prohibited jurisdictions, and the securities are being offered outside the United States under Regulation S.