Buhrmann to repurchase 12¼% notes with new-deal proceeds

New York, June 21 - Buhrmann NV said it plans to issue $150 million of new 10-year senior notes and to use the proceeds of the Rule 144A offering to repurchase its outstanding 12¼% senior subordinated notes due 2009 under its previously announced tender offer.

The company said that so far bondholders representing more than 87% of the 12¼% notes had tendered their notes in the offer and had given their consents to proposed indenture amendments. As a result, the company said the indenture amendments had become effective, fulfilling one of the major preconditions for repurchasing the notes.

It said that tenders of the 12¼% notes may be withdrawn and related consents may still be revoked if the tender offer is terminated.

As previously announced, Buhrmann, an Amsterdam-based office supplies provider, said on June 3 that it planned to buy back the $350 million of outstanding 12¼% notes.

It said that the tender offer would expire at midnight ET on June 30, subject to possible extension.

Buhrmann said it expected to obtain the funds necessary to consummate the tender offer through the offer and sale of new debt securities, borrowings under its credit facility and cash on hand.

It said that the tender offer was subject to a number of conditions, including the company's ability to obtain financing on acceptable terms and conditions, and its receipt of tenders and consents to the proposed indenture changes from a required amount of noteholders.

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