Calpine offers 52.5% in tender for notes, to spend up to $160 million

New York, May 24 - Calpine Corp. said it has begun a cash tender offer for some or all of the euro-denominated 8 3/8% senior notes due 2008 and pound-denominated 8 7/8% senior notes due 2011 issued by Calpine Canada Energy Finance II ULC and the dollar-denominated 8½% senior notes due 2008 issued by Calpine Canada Energy Finance ULC.

The San Jose, Calif., power company said it will spend up to $160 million in the tender.

Calpine is offering 52.5% of face value for the securities including an early tender premium of 2%. It will also pay accrued interest up to but excluding the settlement date.

The early tender premium will only be paid to holders who tender by 5 p.m. ET on June 8. After that date, the price is 50.5% of face value.

The tender expires at 5 p.m. ET on June 22.

Calpine said it will accept the notes issued by Calpine Canada Energy Finance II first before it buys any dollar notes.

Credit Suisse First Boston LLC is dealer manager (contact Liability Management Desk at 800 820-1653 or call collect 212 325-7596), The Bank of New York, London Branch, The Bank of New York, New York and The Bank of New York (Luxembourg) SA are the tender agents. MacKenzie Partners, Inc. and MacKenzie Partners UK Ltd. are information agents (800 322-2885 or call collect 212 929-5500).

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.