AES holders tender $81,000 more 7.375% notes, $154,000 more 5.5% notes

By Susanna Moon

Chicago, Jan. 27 – AES Corp. said investors had tendered $235,000 of notes since 5 p.m. ET on Jan. 11, the early tender date.

Specifically, the company took in tenders for $81,000 more 7.375% senior notes due 2021 and $154,000 more 5.5% senior notes due 2024 since the early deadline, according to a news release.

The company was tendering for up to $250 million of $3,075,000,000 of four note series until 11:59 p.m. ET on Jan. 26. The cash tender offers began Dec. 28.

As previously announced, the total purchase price for each $1,000 principal amount is $870 for the 4.875% notes, $880 for the 5.5% notes due 2025, $890 for the 5.5% notes due 2024 and $1,015 for the 7.375% notes. The total payment includes a $30 early tender premium per $1,000 of notes tendered by the early tender deadline.

Those tendering after the early deadline will receive the tender offer payment, which is the total amount less the early tender premium.

Holders will also receive accrued interest up to but excluding the settlement date of Jan. 12 for early tendered notes and Jan. 27 for remaining tenders.

Investors had tendered $84,956,000 of the four note series as of the early tender date.

The early tender results are as follows, with the notes listed in order of acceptance priority level:

• $36,931,000, or 4.92%, of the $750 million outstanding 4.875% senior notes due 2023;

• $1,783,000, or 0.31%, of the $575 million outstanding 5.5% senior notes due 2025;

• $12,120,000, or 1.62%, of the $750 million outstanding 5.5% senior notes due 2024; and

• $34,122,000, or 3.41%, of the $1 billion outstanding 7.375% senior notes due 2021.

Because the offers were not fully subscribed by the early deadline and the company chose to settle the early tendered notes before the end of the offers, holders tendering after the early deadline could have been subject to proration, whereas those who tendered their notes before the early deadline were not, according to a previously release.

The company previously said it could choose to increase the tender cap amount.

J.P. Morgan Securities LLC (attn.: liability management group, 866 834-4666, 212 834-3424) is the dealer manager for the tender offers. Global Bondholder Services Corp. (attn.: corporate actions, 212 430-3774 for banks and brokers or 866 470-4200 for all others) is the information and depositary agent.

AES is a power company based in Arlington, Va.

© 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.