| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers S > Headlines for Spirit Parent Ltd. > News item |
Spirit starts exchange offer for class A1 and class A3 debentures
By Jennifer Chiou
New York, Oct. 22 - Spirit Parent Ltd. announced the launch of an exchange offer for Spirit Issuer plc's £144,704,000 of outstanding class A1 debenture bonds due 2028 and £116,704,000 of class A3 debenture bonds due 2021.
The company is offering a like amount of new debenture bonds plus accrued interest in cash in the offer that will expire at 11 a.m. ET on Nov. 1.
Holders of class A1 debenture bonds will receive class A6 debenture bonds, and holders of class A3 debenture bonds will receive class A7 debenture bonds.
According to a filing with the London Stock Exchange, the A1 and A3 debenture bonds form part of the whole business financing of Spirit Pub Co. (Managed) Ltd. and Spirit Pub Co. (Leased) Ltd., indirect subsidiaries of Spirit Parent.
The company stated that it is conducting the offer to extend the current amortization profile of the securities.
The filing said that the new class A6 bonds will have a coupon of Libor plus 180 basis points, while the class A7 bonds will accrue interest at 5.86% until December 2014, after which the coupon will be Libor plus 395 bps. For both new series, there will be a 150 bps margin step-up and a full cash sweep from September 2018 onwards.
The exchange offer is contingent upon, among other things, tenders from holders of no less than 70% of the class A1 bonds and no less than 50% of the class A3 bonds.
The offer for the existing bonds is also conditioned on ratings for the new bonds being confirmed.
Holders have to tender at least £100,000 principal amount in order to participate.
Results are anticipated on Nov. 4, with settlement expected on Nov. 7.
The dealer manager is Goldman Sachs International (44 20 7774 9862; liabilitymanagement.eu@gs.com, attn: Liability Management Group). The tender agent is Deutsche Bank AG, London Branch (44 20 7547 5000; xchange.offer@db.com).
Spirit Pub Co. plc is a Staffordshire, England-based managed and leased pub business.
© 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.