Secunda ups price in tender for $125 million floating-rate notes, further extends deadline

By Laura Lutz

Des Moines, July 28 - Secunda International Ltd. increased the payout in the tender offer and consent solicitation for its $125 million senior secured floating-rate notes due 2012 and again extended the offer expiration, according to a company release.

The company will now pay a fixed amount of $1,045.00, plus accrued interest, per $1,000 principal amount of notes. That price includes a $30.00 consent payment.

The offer will now expire at 5 p.m. ET on Sept. 12. The expiration date, originally set for July 28, had already been extended to Aug. 11.

As previously reported, all of the notes were tendered by the consent deadline on July 12.

The consents allow the company to amend the note indenture to eliminate substantially all of the restrictive covenants and certain events of default.

The tender began on June 26.

On July 14, the company set the offer price at $1,043.58, including the $30.00 consent payment. That price was based on a tender offer yield of 5.658% - 50 basis points more than the comparable U.S. Treasury.

The offer is subject to some conditions, including the receipt of tenders from holders of a majority of the notes, a new credit facility or other financing that provides sufficient cash to fund the tender offer and consent solicitation and the successful pricing of the initial public offering of the company's common shares in Canada.

Banc of America Securities LLC is the dealer manager and solicitation agent (call High Yield Special Products collect at 212 847-5836 or 888 292-0070). D.F. King and Co., Inc. is the information agent (call collect 212 269-5550 or 800 758-5378).

Secunda is a Dartmouth, Nova Scotia, offshore oil services company.

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