By Wendy Van Sickle
Columbus, Ohio, July13 – Cabot Financial (Luxembourg) SA received tenders to exchange £31.7 million of its £100 million 8 3/8% senior secured notes due Aug. 1, 2020 and £95 million of its £175 million 6½% senior secured notes due April 1, 2021 for 7½% senior secured notes due 2023, according to an 8-K filing with the Securities and Exchange Commission.
The company launched the offer to exchange any and all of the outstanding notes of both series on July 5.
The offers expired at 11 a.m. ET on July 12.
Notes tendered in the offer will be exchanged at a ratio of 1.01 exchange notes per note tendered, bringing the total principal amount of exchange notes to be issued as part of the offer to £128 million.
For each £1,000 of existing 2020 notes, holders will also receive £41.88 in cash, and holders will receive £16.25 in cash per each £1,000 of existing 2021 notes.
The company also announced it priced £34.5 million of additional 2023 notes at 99 plus accrued interest from and including April 1.
The exchange notes and additional notes will be issued as part of the same series as the £350 million issued under an indenture dated Oct. 6, 2016.
Proceeds of the additional notes will be used to partially repay the revolving credit facilities of Cabot Financial (UK) Ltd. and the remainder, if any, for general corporate purposes.
Concurrently with the exchange offer, Cabot was seeking consents to some amendments to each series that would align the indentures governing the two series. The company announced the consent solicitation was successful for each series, and the amendments have taken effect. Holders who exchanged their existing notes were deemed to have given their consents to the changes.
Cabot previously said the purpose of the exchange offer was to extend its debt maturity profile.
Settlement is expected on July 18.
The company previously announced any 2020 notes that remain outstanding after the exchange offer will be redeemed on Aug. 1 at a price of 102.094 plus accrued interest, subject to available liquidity.
Any 2021 notes that remain outstanding after the exchange offer will be redeemed at the earliest on April 1, 2019 at a price of par plus accrued interest, subject to available liquidity, Cabot said previously.
Goldman Sachs International (+44 20 7774 9862 or liabilitymanagement.eu@gs.com) is lead dealer manager for the exchange offer and lead solicitation agent for the consent solicitation. Morgan Stanley & Co. International plc is dealer manager for the exchange offer and solicitation agent for the consent solicitation
Lucid Issuer Services Ltd. (+44 20 7704 0880 or cabot@lucid-is.com) is exchange agent for the exchange offer and tabulation agent for the consent solicitation.
Cabot is a West Malling, England-based credit management services provider. It is an indirect subsidiary of Encore Capital Group, Inc.
| Issuer: | Cabot Financial (Luxembourg) SA
|
| Issue: | Senior secured notes
|
| Amount: | £162.5 million (£128 million exchange notes, £34.5 million additional notes)
|
| Coupon: | 7½%
|
| Maturity: | Oct. 1, 2023
|
| Call protection: | Three years
|
| Rating: | S&P: B+
|
| Distribution: | Rule 144A and Regulation S
|
|
|
© 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.
