Chile's Endesa Chile seeks consents for $40.42 million 8 1/8% notes

By Susanna Moon

Chicago, July 22 - Empresa Nacional de Electricidad SA, or Endesa Chile, said it restated the amount outstanding under its 8 1/8% notes due 2097 as $40,416,000 principal amount.

The consent solicitation statement dated July 8 had said there were $42,416,000 principal amount of the notes outstanding.

Endesa Chile said on July 8 that it began a consent solicitation for its 8 1/8% notes, 8.35% notes due 2013, 8 5/8% notes due 2015, 7 7/8% notes due 2027 and 7 3/8% notes due 2037.

The company is a subsidiary of Enersis SA, which began a consent solicitation for its 7 3/8% notes due 2014, 7.4% notes due 2016 and 6.6% notes due 2026 on July 8.

Each company wants to amend the cross-default clause in the indenture governing its notes so that it would apply only to that company and its subsidiaries organized under the laws of the Republic of Chile. The definition of "significant subsidiary" would be similarly amended so that it would be limited to only those significant subsidiaries organized under the laws of Chile.

The concept of significant subsidiary is used in the bankruptcy and insolvency proceedings clauses of the indentures, the release noted.

The consent solicitations are subject to the receipt of consents from the holders of at least a majority of the outstanding notes, excluding notes owned by the companies or any affiliates.

The total outstanding principal amount of Enersis' three series of notes is $601 million, and the total outstanding principal amount of Endesa Chile's notes is $917 million.

The consent solicitations will expire at 5 p.m. ET on July 24. The record date is July 7.

Noteholders are being offered an undisclosed consent payment.

JPMorgan (866 846-2874 or 212 834-4374) is the solicitation agent. Global Bondholder Services Corp. (866 873-6300 or 212 430-3774) is the information agent.

Enersis holds direct and indirect participation in the electric power generation, transmission and distribution businesses. It holds a 60% interest in Endesa Chile, an electricity generation company. Both are based in Santiago, Chile.

© 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.