Toys 'R' Us tenders for 8¾% debentures

New York, May 27 - Toys "R" Us, Inc. said it has begun a cash tender offer for any and all of its $200 million of 8¾% debentures due Sept. 1, 2021.

The Wayne, N.J., toy retailer is also soliciting consents to amend the indenture.

The tender is in response to a request from Global Toys Acquisition, LLC, the investment group consisting of affiliates of Bain Capital Partners LLC, Kohlberg Kravis Roberts & Co. and Vornado Realty Trust that is buying Toys "R" Us.

Toys "R" Us will pay $980.00 per $1,000 principal amount of debentures to holders who tender by the consent deadline of 5 p.m. ET on June 10, including a $30.00 per $1,000 consent payment.

Holders who tender after the consent deadline but before the expiration of 5 p.m. ET on June 27 will receive $950.00 per $1,000 principal amount.

The company will also pay accrued interest up to but excluding the settlement date.

Holders who tender must consent to the amendments.

The tender is subject to various conditions but the acquisition of Toys "R" Us is not one of them. However the company does need the consent of holders of a majority of the notes to amend the indenture.

Credit Suisse First Boston is dealer manager and solicitation agent (call collect 212 325-2130). Georgeson Shareholder Communications Inc. is information agent (800 561-4106).

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