Penn National gets consents to amend $325 million 8¾% notes due 2019

By Susanna Moon

Chicago, Oct. 30 - Penn National Gaming, Inc. said it obtained consents from holders of $292.68 million, or about 90.055%, of its $325 million principal amount of 8¾% senior subordinated notes due 2019 as of 5 p.m. ET on Oct. 28, the consent payment date.

Penn is soliciting consents to amend the notes to eliminate substantially all restrictive covenants and events of default, according to a company press release.

As a result, the company received the needed consents from holders of at least a majority of the outstanding notes to execute a supplemental indenture to the notes.

The proposed amendments will become operative when the tendered notes are settled.

The tender offer will continue until 5 p.m. ET on Nov. 13.

The total purchase price will be $1,107.24 for each $1,000 principal amount of notes tendered by the consent payment deadline, according to a previous press release. The total payment includes a consent amount of $20.00 per $1,000 of notes.

Those who tender after the consent date will receive the tender offer payment of $1,087.24 per $1,000 principal amount.

Holders also will receive accrued interest up to but excluding the settlement date.

i-Deal, LLC (888 593-9546 or 212 849-3880 for banks and brokers) is the information agent. J.P. Morgan (800 245-8812) and BofA Merrill Lynch (888 292-0070) are the dealer managers and solicitation agents. for the consent solicitation.

Penn National is a gaming company based in Wyomissing, Pa.

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