Banco Mercantil do Brasil tenders for up to $50 million 9 5/8% notes

By Wendy Van Sickle

Columbus, Ohio, Oct. 11 – Banco Mercantil do Brasil SA said it began a tender offer for up to $50 million of its $155.38 million outstanding 9 5/8% subordinated notes due 2020.

The total purchase price will be $975 for each $1,000 principal amount of notes tendered by 5 p.m. ET on Oct. 24, the early tender date. The total amount includes an early tender premium of $50 per $1,000 principal amount.

Holders who tender their notes after the early deadline will receive the base payment of $925 per $1,000 of notes.

The tender offer will end at 11:59 p.m. ET on Nov. 7. Tendered notes may be withdrawn until the early deadline.

The company also will pay accrued interest to but excluding the settlement date, which will be Oct. 26 for early tendered notes and Nov. 9 for remaining tenders.

If the offer is oversubscribed by the early tender date, the bank will not accept for purchase any notes after the early deadline and it will accept for purchase the notes tendered by the early deadline on the early settlement date on a prorated basis, according to a company press release.

Tenders will be accepted in minimum amounts of $100,000 and in increments above that of $1,000.

The dealer manager is Goldman Sachs & Co. LLC (212 902-6351 or 800 828-3182).

The tender agent and information agent is D.F. King & Co., Inc. (212 269-5550, 800 967-5019 or mercantil@dfking.com).

Banco Mercantil is a lender based in Belo Horizonte, Brazil.

© 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.