Hornbeck Offshore Services gets enough consents to amend 8% notes

By Angela McDaniels

Tacoma, Wash., March 27 - Hornbeck Offshore Services, Inc. had received tenders and consents from the holders of $234.62 million, or 93.85%, of its $250 million principal amount of 8% senior notes due 2017 as of 5 p.m. ET on March 27, which was the consent deadline in a tender offer and consent solicitation that began March 14.

The consents received are enough to execute a supplemental indenture that will eliminate most of the restrictive covenants and some default provisions in the indenture governing the notes. The supplemental indenture will not become operative until a majority of the notes have been purchased.

The total purchase price is $1,071.20, which includes a $30.00 consent payment for each $1,000 principal amount of notes tendered by the consent deadline.

The company also will pay accrued interest up to but excluding the payment date.

The settlement date is expected to be March 28 for notes tendered by the consent deadline.

The tender offer will end at 11:59 p.m. ET on April 10.

Holders may not tender their notes without delivering consents or deliver consents without tendering their notes.

The offer remains subject to the closing of the company's $450 million offering of 5% senior notes due 2021.

Barclays (800 438-3242 or 212 528-7581), J.P. Morgan Securities LLC (866 834-4666 or 212 834-4802), Wells Fargo Securities, LLC (866 309-6316 or 704 410-4760) and DNB Markets, Inc. (212 681-3911) are the dealer managers. Global Bondholder Services Corp. (866 294-2200 or 212 430-3774) is the depositary and information agent.

Hornbeck is a Covington, La.-based provider of offshore supply vessels to the oil and gas industry.

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