Bulgaria's Petrol extends consent bid for 8 3/8% notes by two weeks

By Susanna Moon

Chicago, Dec. 6 - Petrol AD said it extended the consent solicitation for its €87,038,000 of outstanding 8 3/8% guaranteed notes due 2012, giving holders until 5 a.m. ET on Dec. 19 to deliver consents, and adjourned the meeting held on Dec. 5 due to lack of quorum.

The company will now hold a meeting for noteholders on Dec. 20 to consider the proposals. If the proposals pass, they will be implemented on Jan. 6, according to a previous press release.

The solicitation was originally set to end at 5 a.m. ET on Dec. 4.

Petrol is soliciting the consent of the holders to extend the maturity of the notes to Jan. 26, 2017, remove some covenants and change the minimum denomination of the notes to €100,000.

The solicitation began Nov. 11 and comes on the heels of a tender offer and consent bid that ended last month that extended the maturity by three months.

The notes are guaranteed by Naftex Petrol EOOD.

Petrol is seeking to optimize its liability portfolio by extending the maturity date of the notes and removing certain covenants in the terms and conditions of the notes to provide Petrol and its subsidiaries with operational flexibility in the changing business environment, the release noted.

Adamant Capital Partners AD (+359 2 422 5970 or e-mail tstanoykova@acp.bg) is the solicitation agent. Bank of New York Mellon (+44 0 20 7964 4958 or e-mail debtrestructuring@bnymellon.com) is the tabulation agent.

Recent extension, changes

The company purchased and canceled €11,779,000 of the 8 3/8% notes on Oct. 12 in the offer to purchase up to €10 million of the €98,817,000 outstanding notes. The tender offer and a consent solicitation began on Sept. 13 and ended at 5 a.m. ET on Oct. 4.

At a meeting on Oct. 5, the noteholders voted in favor of amendments to the terms and conditions of the notes that extended the maturity date to Jan. 26, 2012 and will allow the company to make the Oct. 26 interest payment on the extended due date.

The company also asked holders to discharge and exonerate the trustee from any and all liability for any act or omission for which it may have become responsible under the trust deed in connection with the extraordinary resolution.

The purchase price was €850 per €1,000 principal amount of notes plus accrued interest.

The dealer manager was Adamant Capital Partners. The tender and tabulation agent was Bank of New York Mellon.

Sofia, Bulgaria-based Petrol is a fuel distributor.

© 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.