Avaya extends LYONs exchange one day

New York, Jan. 28 - Avaya Inc. extended the expiration date of its exchange offer for its Liquid Yield Option Notes due 2021 to 5.00 p.m. ET on Jan. 28 from midnight ET on Jan. 27.

As of Jan. 27, $91.426 million principal amount at maturity of the LYONs had been tendered, Avaya said.

Other terms of the exchange remain unchanged.

Following a sweetening of the offer on Jan. 10, the Basking Ridge, N.J. communications equipment company is offering 77 shares and $208.40 in cash per LYON for holders who choose the combination stock and cash option or $389.61 per LYON in the cash-only option.

Warburg Pincus Equity Partners LP is participating in the offer. Funding for the cash portion of the offer will be split between Avaya and Warburg Pincus Equity Partners, LP, which owns 14.5% of Avaya's stock. Avaya will provide up to $100 million and Warburg Pincus will provide up to $100 million of the maximum $200 million in cash that will be paid. Avaya noted its credit agreement prevents it increasing the amount of cash and New York Stock Exchange rule prevent it issuing more stock with shareholder approval.

Warburg Pincus has agreed to exchange all LYONs it purchases into common stock, Avaya said, adding that for its financing commitment and participation in the exchange offer Warburg Pincus will receive warrants to purchase additional shares of common stock.

Tenders will be pro rated so that no more than $200 million in cash is paid. Avaya will first accept tenders for the combination of cash and stock followed by those for cash only.

Morgan Stanley & Co. Inc. (call collect 212 761-5409) is dealer manager for the offer. Georgeson Shareholder Communications, Inc. (866 296-4337 or 212 440 9800) is information agent and The Bank of New York is exchange agent.

Coeur D'Alene exchanges further $22.9 million convertibles

New York, Jan. 28 - Coeur D'Alene Mines Corp. said it exchanged a further $22.9 million of its convertibles for stock over the past six weeks and holders of another $2.1 million voluntarily converted their securities, reducing its convertible debt by $25 million.

The Coeur D'Alene, Ida. silver miner said it exchanged $22.9 million principal amount of its 6.375% convertible debentures due January 2004 for 13.8 million shares of common stock in several privately negotiated transactions.

Holders of $2.1 million of the company's 13.375% senior convertible notes due December 2003 voluntarily converted their debt into equity on the securities' existing terms. Since the notes are convertible at $1.35 per share, a 27% discount to Coeur D'Alene's current share price, the company said it expects investors owning the remaining $10.6 million will likely convert the notes by the end of the year.

Coeur D'Alene said it now has $54.5 million of convertible debt outstanding, consisting of $10.6 million of the 13.375% senior convertible notes, $32.3 million of the 6.375% convertible debentures and $11.7 million of 7.25% convertible debentures due October 2005.

The company said this amount is almost a 50% reduction from the amount outstanding at the end of the third quarter of 2002 and compared to $145.5 million at the beginning of 2002.

© 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.