Liberty Mutual extends tender for 10.75% notes to Feb. 1, consent bid for 7.5% notes to Jan. 31

By Melissa Kory

Cleveland, Jan. 27 - Liberty Mutual Group Inc. announced the extensions of the cash tender offer for its $1.25 billion of 10.75% series C junior subordinated notes due June 15, 2088 and the consent solicitation for its 7.5% senior notes due 2036 to terminate the replacement capital covenants.

The new tender expiration date is midnight ET on Feb. 1. The deadline previously fell on Jan. 28, an extension from the original Jan. 24 deadline.

The consent deadline was extended to 5 p.m. ET on Jan. 31 from 5 p.m. ET on Jan. 26.

The offers began on Jan. 14.

As of 5 p.m. on Jan. 26, the company recorded tenders for $211,915,000 of the series C notes.

For each $1,000 principal amount, Liberty said it will pay $1,272.50 for tendered 10.75% notes, including a $50.00 early payment for all who tender. It will pay a consent fee of $5.00 per $1,000 of notes in the solicitation.

The company is seeking consents from holders of a majority of the 7.5% notes.

Holders will also receive accrued interest for tendered notes.

Bank of America Merrill Lynch (888 292-0070 or call collect 980 388-8217) and J.P. Morgan Securities LLC (866 834-4666 or call collect 212 834-4811) are the dealer managers and solicitation agents.

Global Bondholder Services Corp. (866 795-2200) is the information agent.

Liberty Mutual is a subsidiary of Liberty Mutual Holding Co. Inc., a Boston-based property and casualty insurer.

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