Aramark begins tender offers for toggle notes, 8½% notes, floaters

By Angela McDaniels

Tacoma, Wash., Feb. 21 - Aramark Holdings Corp. began a tender offer for its $600 million of 8 5/8%/9 3/8% senior notes due 2016, and Aramark Corp. began tender offers for its $1.28 billion of 8½% senior notes due 2015 and $500 million of senior floating-rate notes due 2015.

The early tender date is 5 p.m. ET on March 6, and each offer will expire at 11:59 p.m. ET on March 20, according to a company news release.

For each $1,000 principal amount, the purchase price will be $1,020.00 for the toggle notes, $1,005.00 for the 8½% notes and $1,001.50 for the floating-rate notes. Each of these payments includes an early tender payment equal to $30.00 per $1,000 principal amount of notes tendered by the early tender date.

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

The companies may choose to accept for purchase and pay for prior to the expiration date any notes tendered at or prior to the early tender date.

The companies expect to redeem any notes that remain outstanding after the offers, and they expect the redemption prices to be less than the purchase prices noted above.

The offers are conditioned on the completion of amendments to Aramark's senior secured credit facility, including additional borrowings contemplated thereby, and the issuance of additional debt yielding enough proceeds to fund the offers. No offer is conditioned on the completion of the others.

The dealer managers are Goldman Sachs & Co. (800 828-3182 or 212 357-6436) and Wells Fargo Securities, LLC (866 309-6316 or 704 410-4760). The depositary and information agent is Global Bondholder Services Corp. (866 807-2200 or, for banks and brokers, 212 430-3774.)

Aramark is a Philadelphia-based professional services company that provides food, hospitality and facility management services as well as uniform and work apparel.

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