Pyxus begins exchange offer, consent bid for 10% notes due 2024

By Wendy Van Sickle

Columbus, Ohio, Jan. 5 – Pyxus International, Inc. said its wholly owned subsidiary Pyxus Holdings, Inc. began an offer to exchange all of its $280,843,751 of outstanding 10% senior secured first-lien notes due 2024 (Cusip: 747328AA0) for an equal principal amount of 8½% senior secured notes due Dec. 31, 2027, according to a news release.

The issuer is also soliciting consents to amend the note indenture, dated Aug. 24, 2020, to eliminate most of the restrictive covenants and some of the affirmative covenants, eliminate the change-of-control repurchase obligation in the existing notes indenture, subordinate the existing notes in right of payment to existing and future senior indebtedness, eliminate certain events of default and release all of the collateral securing the existing notes.

The exchange offer and consent solicitation will expire at 11:59 p.m. ET on Feb. 2.

The issuer must receive consents from holders representing a majority of the existing notes for the adoption of the proposed amendments and from holders of 66 2/3% of the existing notes to effect the collateral release.

Holders of existing notes may not deliver consents without tendering their existing notes in the exchange offer, and holders of existing notes may not tender their existing notes in the exchange offer without delivering consents.

As previously reported, Pyxus entered into a support and exchange agreement that took effect on Dec. 27 with a group of creditors including holders of 64.1% of the existing notes who have agreed to supply their consents under the solicitation. These consents are sufficient to effect the proposed amendments.

The new notes will be guaranteed by the guarantors of the existing notes. They will be redeemable in whole or in part at any time at par plus interest.

Ipreo LLC (212-849-3880 or 888 593-9546 or ipreo-exchangeoffer@ihsmarkit.com) is the exchange agent and information agent.

Pyxus is a Morrisville, N.C.-based global agricultural company.

© 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.