DineEquity gets early tenders, consents for $1.26 billion of notes

By Devika Patel

Knoxville, Tenn., Sept. 24 - DineEquity, Inc. said it has received tenders and consents from holders of $1.26 billion of notes as of 5 p.m. ET on Sept. 23, which was the consent deadline and withdrawal deadline for the company's cash tender offers for four series of notes.

Specifically, the company reported that it received tenders from holders of:

• $533.65 million of its $599.04 million of series 2007-1 class A-2-II-A fixed-rate term senior notes due 2037;

• All $366.07 million of its series 2007-1 class A-2-II-X fixed-rate term senior notes due 2037;

• $170.8 million of IHOP Franchising, LLC's and IHOP IP, LLC's $175 million of series 2007-1 fixed-rate term notes due 2037; and

• $186.92 million of the IHOP issuers' $245 million of series 2007-3 notes due 2037.

Concurrently with the tender offer for the IHOP 2007-3 notes, DineEquity also solicited consents to waive provisions to the notes and effect a proposed refinancing of the company's existing debt and that of its subsidiaries.

DineEquity said it has received similar waivers from the series insurer and series controlling party under the class A-2-II-X notes, the 2007-1 fixed-rate notes and the series 2007-2 variable funding notes due 2037.

DineEquity is offering the following total amounts for each $1,000 principal amount, including a $30.00 premium for notes tendered by 5 p.m. ET on Sept. 23:

• $1,015 for the class A-2-II-A notes;

• $1,015 for the class A-2-II-X notes;

• $1,050 for the fixed-rate term notes; and

• $1,075 for the series 2007-3 notes.

Holders who tender after the consent date but by 5 p.m. ET on Oct. 8, the expiration date, will not receive the early tender premium.

After the completion of the offers, DineEquity intends to redeem or prepay all of the following notes that remain outstanding: IHOP 2007-2 notes and the series 2007-1 advance notes, class A-1-A and series 2007-1 advance notes, class A-1-X, each issued by the Applebee's issuers, on Oct. 20.

The offers require closing of debt financing needed to fund the purchases, completion of the tender offers for each of the classes or series of notes and receipt of tenders of at least a minimum principal amount of notes.

Barclays Capital (800 438-3242 or collect 212 528-7581) and Goldman, Sachs & Co. (800 828-3182 or collect 212 902-5128) are the joint dealer managers for all the offers, and they are the joint solicitation agents for the 2007-3 notes.

Global Bondholder Services Corp. (866 470-4300 or 212 430-3774) is the information agent. Wells Fargo Bank, NA is the depositary.

Glendale, Calif.-based DineEquity franchises and operates restaurants. The company is the parent company of Applebee's Neighborhood Grill & Bar and IHOP Restaurants.

© 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.