Citgo: Holders tendered $6.8 million in capped offer for 9¼% notes

Chicago, Dec. 13 – Citgo Holding, Inc. announced the expiration and final results for its offer to purchase for cash an aggregate principal amount of up to $237.391 million of its 9¼% senior secured notes due 2024, according to a press release.

As of the expiration time at 5 p.m. ET on Dec. 12, noteholders tendered $6,795,000 of their notes. All of the notes will be accepted for purchase.

For each $1,000 principal amount of notes tendered and accepted by the company, holders will receive $1,000 in cash, plus accrued interest to but excluding the settlement date.

Settlement is expected for Dec. 16.

After the notes are purchased, $1,362,000,000 of notes will remain outstanding.

Citgo was conducting the tender offer as an excess cash flow offer.

Under the terms of the indenture governing the notes, the company is obligated to offer to purchase for cash an aggregate principal amount of up to the excess cash flow offer amount – equal to 50% of the excess cash flow of the company and some of its subsidiaries – of its outstanding notes at par. The offer is being made to satisfy this requirement.

TMI Trust Co. is the trustee.

Based in Houston, Citgo Holding is the direct parent of Citgo Petroleum Corp. and a wholly owned subsidiary of PDV Holding, Inc. PDV is an indirect wholly owned subsidiary of Petroleos de Venezuela, SA, which is owned and controlled by the government of Venezuela.

Citgo manufactures or refines and markets transportation fuels as well as petrochemicals, other industrial products and lubricants.

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