Argentina's Loma Negra, Caue Finance tender for 7¼%, 8 7/8% notes

By Jennifer Chiou

New York, June 28 - Loma Negra Compania Industrial Argentina SA and Caue Finance Ltd. announced the start of cash tender offers and consent solicitations for Loma Negra's 7¼% senior notes due 2013 and Caue Finance's 8 7/8% senior notes due 2015.

Each series is guaranteed by parent company Camargo Correa SA and InterCement Brasil SA.

The companies are soliciting consents to adopt proposed amendments to the indentures to eliminate substantially all restrictive covenants and certain event of default provisions.

Those who tender by the consent deadline of 5 p.m. ET on July 11 will receive $1,175 per $1,000 principal amount of 8 7/8% notes, including a $165 tender premium and an early tender fee of $10.

The companies will pay $1,170 per $1,000 principal amount of 7¼% notes, including a $60 tender premium and an early tender fee of $10.

Participating holders will also receive accrued interest.

The offers will end at 8 a.m. ET on July 26.

For the 8 7/8% notes, adoption of the proposed amendments requires the delivery of consents by holders of more than 50% of the outstanding notes, or two-thirds for certain amendments.

For the 7¼% notes, adoption of the proposed amendments requires the approval of holders of more than 50% of the notes present or represented at the noteholder meeting on July 26 and requires a quorum of at least 60% of the notes.

Holders who tender their notes must also deliver consent and vice versa.

Bank of America Merrill Lynch (888 292-0070 or 646 855-3401) is the dealer manager and solicitation agent, and D.F. King & Co., Inc. (212 269-5550 or 800 859-8508) is the information agent.

Loma Negra makes cement, concrete and lime products and is based in Buenos Aires. Caue Finance is based in George Town, Grand Cayman.

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