Citigroup extends consent solicitation for 7.875% notes until Feb. 22

By Susanna Moon

Chicago, Feb. 8 - Citigroup Inc. said holders may now have until 5 p.m. ET on Feb. 22 to tender consents for their 7.875% notes due 2025 issued by CitiFinancial Credit Co. (formerly Commercial Credit Co.)

The consent date was pushed back from 5 p.m. ET on Feb. 7. It was originally set to expire at 5 p.m. ET on Jan. 7.

Citi noted, however, that the revocation deadline of the solicitation has not been extended.

On Jan. 25 Citi completed an exchange offer for two series of notes, obtaining tenders for exchange from holders of $93.73 million of the $192,226,000 of 6.625% notes due 2015 and $57.6 million of the $200 million of 7.875% notes issued by CitiFinancial Credit.

The exchange offer began on Dec. 27.

Holders also delivered consents for $79.69 million of the 6.625% notes.

Eligible holders could either exchange their notes for 4.75% notes due 2015 issued by Citigroup or deliver consents without tendering their notes. Those who exchanged were deemed to have delivered consents.

For each $1,000 principal amount, holders received $1,077.50 exchange principal amount of new notes in exchange for 6.625% notes and $1,142.50 principal amount of new notes in for 7.875% notes. These amounts include $20.00 of new notes for each note tendered by the early tender/exchange deadline.

Citi said that the notes will be exchanged into $165.75 million of Citigroup's new 4.75% notes due 2015.

The company also said at the time that it waived the required consent condition for the 7.875% notes and extended the solicitation for those notes.

Citi paid $1.59 in cash for the consents received for the 6.625% notes. It previously received the required consents for its 6.625% notes.

The exchange offer was made only to eligible holders, and the consent solicitations were and are being made to all holders.

An eligible holder is either a qualified institutional buyer as defined in Rule 144A under the Securities Act or outside the United States and a person other than a U.S. person as defined in Rule 902 under the Securities Act.

Holders who delivered consents without tendering their notes will receive a consent fee of $20.00 per $1,000 principal amount of notes.

The information agent was Global Bondholder Services Corp. (866 612-1500 or 212 925-1630).

The financial services company is based in New York.

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