Ferrexpo gets OK to amend 7 7/8% notes, accepts all notes for exchange

By Marisa Wong

Madison, Wis., July 2 – Ferrexpo Finance plc said it received the needed consents from holders of its 7 7/8% guaranteed notes due 2016 to amend the notes.

Holders of 94.04% of the notes were represented at the noteholders’ meeting held on July 2. Of those holders, 99.48% voted in favor of the proposed amendments. The issuer executed a second supplemental trust deed effecting the amendments on Thursday.

Having received the required number of votes to approve the changes, Ferrexpo also accepted for exchange all notes tendered under its related exchange offer.

Ferrexpo began the exchange offer and consent solicitation on May 28 for its $285,669,000 of outstanding $500 million 7 7/8% notes.

The outstanding principal amount of $285,669,000 of existing notes will be exchanged for $100,005,000 of cash and $185,664,000 of new 10 3/8% notes.

The 10 3/8% notes will have substantially identical terms and conditions to the $160,724,000 10 3/8% guaranteed amortizing notes due 2019 issued by Ferrexpo on Feb. 24.

As previously announced, the company offered to exchange the notes on a par for par basis. In exchange for tendered notes, holders will receive an amount of 10 3/8% notes equal to 65% of par and cash equal to 35% of par.

In addition, holders who submitted exchange instructions by the early deadline will receive the early consent fee of $20 per $1,000 principal amount.

Those who gave their exchange instructions after the early deadline will receive the base consent fee of $5 per $1,000 principal amount.

Any holders who voted against the extraordinary resolution will not receive a consent fee.

The exchange offer and consent solicitation was set to expire at 11:59 p.m. ET on June 30. The settlement date for the exchange offer will be July 6.

The dealer manager is Deutsche Bank AG, London Branch (+44 20 754 76153 / +44 20 754 76568 or ferrexpo.lm@list.db.com).

The exchange and tabulation agent is Lucid Issuer Services Ltd. (+44 0 20 7704 0880 or ferrexpo@lucid-is.com).

Ferrexpo is a Zug, Switzerland-based resources company with assets in Ukraine.

© 2015 Prospect News.
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