Ventas announces final results of offer to buy up to $310 million of four notes series

By Angela McDaniels

Tacoma, Wash., May 4 - Ventas, Inc. said holders tendered a total of $430.89 million principal amount of notes issued by operating partnership Ventas Realty, LP and subsidiary Ventas Capital Corp. during a tender offer that expired on May 1.

About $414.82 million principal amount of those notes had been tendered by April 20, the early tender deadline.

According to a company news release, holders tendered:

• $100.70 million of Ventas Realty's $102.08 million 6.75% senior notes due 2010, which had a priority level 1 in the offer;

• $104.39 million of its $186.82 million 9% senior notes due 2012, which also had a priority level of 1;

• $98.13 million of its $175 million 6.625% senior notes due 2014, which had a priority level of 2; and

• $127.68 million of its $170 million 7.125% senior notes due 2015, which had a priority level of 3.

Ventas accepted all of the 6.75% notes, 9% notes and 6.625% notes and $2.85 million of the 7.125% notes. The proration factor for the 7.125% notes is 2.28%.

For each $1,000 principal amount, noteholders received $1,034.25 for the 6.75% notes, $1,050.00 for the 9% notes, $952.75 for the 6.625% notes and $966.75 for the 7.125% notes.

In each case, the payout included a $30.00 early tender premium for 6.75% notes, 6.625% notes and 7.125% notes tendered by the early tender deadline and for all 9% notes tendered.

The company also paid accrued interest up to but excluding the payment date, which was May 4.

The offer began April 6.

Completion of the offers was subject to the completion of the company's proposed offerings of common stock and senior notes due 2016. Proceeds from these offerings, together with cash on hand and/or revolving credit facilities borrowings, were used to fund the tender offers.

The dealer managers were Banc of America Securities LLC (call Liability Management Group at 888 292-0070 or 646 855-3401), BMO Capital Markets and KeyBanc Capital Markets. The information agent was Global Bondholder Services Corp. (866 857-2200 or 212 430-3774).

Ventas is a health care real estate investment trust based in Chicago.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.