MasTec seeks consents from 4 7/8% noteholders for reporting extension

By Marisa Wong

Madison, Wis., March 31 – MasTec, Inc. has begun a consent solicitation in connection with its $400 million of 4 7/8% senior notes due March 15, 2023, according to an 8-K filing with the Securities and Exchange Commission.

The purpose of the consent solicitation is to amend the indenture governing the notes to, among other things, extend the deadlines for filing financial statements and have holders waive any default, breach or non-compliance arising from the failure to timely file the financials statements.

The company is proposing to extend the dates for filing and delivering a Form 10-K for the fiscal year ended Dec. 31 and a Form 10-Q for the quarter ended March 31 to Aug. 1.

If the company makes a second consent payment on or before Aug. 1, the dates for filing the 2014 Form 10-K, the Q1 2015 Form 10-Q and a Form 10-Q for the quarter ending June 30 will be extended to Nov. 1, 2015.

Holders of record as of 5 p.m. ET on March 30 who deliver their consents to the proposed amendments will be eligible to receive a consent consideration of $2.50 per $1,000 of notes.

An additional $2.50 per $1,000 of notes will be paid to consenting holders on or before Aug. 1 if the company decides to obtain the second reporting deadline extension.

Approval of the proposed changes requires the consent of holders of a majority in principal amount of the outstanding notes.

The consent solicitation is scheduled to expire at 5 p.m. ET on April 10.

Morgan Stanley & Co. LLC (800 624-1808 or 212 761-1057) is the solicitation agent. D.F. King & Co., Inc. (212 269-5550 for banks and brokers or 866 796-7179) is the information and tabulation agent.

According to the 8-K, the company also received a consent from the bank group under its senior secured credit facility to delay delivery of its annual audited financial statements for the fiscal year ended Dec. 31 and its quarterly financial statements for the fiscal quarter ended March 31.

Under the terms of the consent, the bank group has extended the deadline to June 1.

Coral Gables, Fla.-based MasTec is an infrastructure construction company.

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