Penn Virginia to amend 10 3/8% notes to allow 4½% convertibles tender

By Susanna Moon

Chicago, April 4 - Penn Virginia Corp. said it secured consents from holders of about 98% of its 10 3/8% senior notes due 2016 to amend the notes, which allows the company to complete a tender offer for its $230 million of 4½% convertible senior subordinated notes due 2012.

The consent solicitation ended at 5 p.m. ET on April 1. It began on March 24.

Holders who consented will receive a consent fee of $2.50 per $1,000 principal amount of notes.

The amendment will allow the company to purchase, repurchase, redeem, defease or otherwise acquire the convertibles and related call options and warrants. Consents were needed from holders of a majority of the 10 3/8% notes.

The tender offer for the convertibles was set to expire at midnight ET on April 4.

As announced on March 21, Penn Virginia increased the price it will pay in the tender for its convertibles to $1,035.00 per $1,000 principal amount from $1,027.50.

Holders will also receive accrued interest up to but excluding the settlement date.

The tender offer for the convertibles is also subject to a minimum tender condition, a debt-financing condition and the consent of lenders with a majority of the outstanding commitments under Penn Virginia's revolving credit facility.

The dealer manager and solicitation agent is J.P. Morgan Securities LLC (800 261-5767). The information agent is Global Bondholder Services Corp. (866 540-1500 or 212 430-3774).

Penn Virginia is an independent natural gas and oil company based in Radnor, Pa.

© 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.