Centerplate gets consents needed to amend 13½% notes, receives tenders of 61.2%

By Angela McDaniels

Tacoma, Wash., Jan. 26 - Centerplate, Inc. completed its offer for its $119.6 million 13½% senior subordinated notes due 2013 underlying its units, receiving tenders for $73,200,198, or 61.2%, of the notes.

If all are accepted for payment, $46,396,136.10 of notes will remain outstanding, representing the notes underlying 8,139,673 of Centerplate's 20,981,813 outstanding IDSs.

The announcement came after one earlier in the day in which it said it had received the consents needed to amend the note indenture, according to a company news release.

The supplemental indenture has been executed, but the amendments will not become operative until the company purchases the tendered notes.

Centerplate also extended its tender offer to purchase up to 70% of the notes to 5 p.m. ET on Jan. 26 from Jan. 23.

Holders who tender and deliver consents will receive $2.49 per note plus accrued interest.

Through Friday, the company had received tenders and consents from holders of $72.23 million, or 60.4%, of the notes.

If the percentage of outstanding notes tendered is greater than 70%, Centerplate will accept up to 70% of the tendered notes on a pro rata basis.

Completion of the offer is conditioned on, among other things, the consummation of the proposed merger of Centerplate with an affiliate of Kohlberg & Co, LLC.

As previously reported in December, Centerplate lowered the price its unitholders will receive in the tender offer to $2.49 per note from $3.99.

The share of common stock underlying each unit will be purchased for $0.01 at the merger's close, giving holders who tender a total of $2.50 per unit.

Originally, holders had been slated to receive $4.00 per unit.

UBS Investment Bank (888 719-4210 or 203 719-4210) is the dealer manager and solicitation agent, and MacKenzie Partners, Inc. (800 322-2885 or 212 929-5500) is the information agent.

Centerplate is a Stamford, Conn.-based provider of food and related services to recreation facilities.

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