Northern Tier tenders for up to $195 million of 7 1/8% notes due 2020

By Marisa Wong

Morgantown, W.Va., Oct. 17 – Northern Tier Energy LP announced that its wholly owned subsidiaries, Northern Tier Energy LLC and Northern Tier Finance Corp., have begun a tender offer to purchase for cash up to $195 million of their 7 1/8% senior secured notes due 2020.

Under the terms of the notes, the issuers are required to make a tender offer when Northern Tier disposes of particular assets. On Sept. 15, Northern Tier sold storage, terminalling and other logistics assets to Western Refining Logistics LP for a total consideration of about $210 million, of which $195 million was cash.

The tender offer will expire at 5 p.m. ET on Nov. 15.

Holders who tender their notes prior to the expiration date will be eligible to receive $1,000 per $1,000 principal amount plus accrued interest up to, but not including, the payment date.

However, if more than $195 million of notes are tendered, the issuers will purchase the tendered notes on a pro rata basis.

Payment for any tendered notes accepted for purchase will be made on the third business day immediately following the expiration date.

Tenders may be withdrawn at any time prior to the expiration date.

Deutsche Bank Trust Co. Americas (877 843-9767 or db.reorg@db.com) is the information agent.

Northern Tier operates refineries in El Paso, Gallup, N.M., and St. Paul Park, Minn., and is an indirect wholly owned subsidiary of Western Refining, Inc. Northern Tier is based in Tempe, Ariz., and Western Refining is based in El Paso.

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