Penton tenders for 11 7/8% notes, 10 3/8% notes

By Jennifer Chiou

New York, Dec. 20 - Penton Media, Inc. said it began tender offers for any and all of its 11 7/8% senior secured notes due 2007 and 10 3/8% senior subordinated notes due 2011.

The Cleveland, Ohio-based business-to-business media company is also soliciting consents for proposed amendments to the note indentures to eliminate substantially all of the restrictive covenants, certain events of default and related provisions of the indenture as well as to release the security interest benefiting the 11 7/8% noteholders.

Penton is seeking consents from a majority of noteholders.

The consent deadline is 5 p.m. ET on Jan. 8. The tenders end at 9 a.m. ET on Jan. 31.

For each $1,000 principal amount of notes, the company said it will pay $1,002.50 for the 11 7/8% notes and $1,054.38 for the 10 3/8% notes. The payouts include a $10.00 consent payment for those who tender prior to the early deadline.

Penton will also pay accrued interest to the payment date.

UBS Securities LLC (888 722-9555, x4210) and J.P. Morgan Securities Inc. (call collect 212 270-3994) are the dealer managers. Global Bondholder Services Corp. is the information agent (call collect 212 430-3774 or 866 807-2200).

The offers are linked to Penton's previously announced merger with Prism Business Media Holdings, Inc., and the company said it intends to use cash provided by Prism through its financing sources for the tenders.

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