Garda tenders for $300 million 9¾% notes, C$175 million 9¾% notes

By Susanna Moon

Chicago, Oct. 22 - Garda World Security Corp. said it began cash tender offers for its $300 million outstanding dollar-denominated 9¾% senior notes due 2017 and its C$175 million outstanding Canadian dollar 9¾% senior notes due 2017.

The total purchase price will be $1,080.94 for each $1,000 principal amount of dollar-denominated notes and C$1,077.60 for each C$1,000 principal amount of Canadian dollar notes tendered by 5 p.m. ET on Nov. 4, the early tender date.

The total payment includes an early tender premium of $30.00 or C$30.00 per respective $1,000 or C$1,000 of notes tendered by the early deadline.

Holders who tender after the early deadline will receive $1,050.94 per $1,000 of notes or C$1,047.60 per C$1,000 of notes.

The tender offer will end at midnight ET on Nov. 19.

The company also will pay accrued interest to but excluding the payment date, which is expected to be Nov. 8 for early tendered notes.

The company also is soliciting consents to amend the notes to eliminate most of the restrictive covenants and events of default contained in each series of notes, according to a company press release.

Holders may not tender their notes without delivering their consents or deliver consents without tendering their related notes.

Tendered notes may be withdrawn by the early tender deadline.

The offer is conditioned on completion of debt financing of at least $715 million and C$150 million, receipt of consents for at least a majority of each note series and execution of a supplemental indenture amending the notes.

The information agent is D.F. King & Co., Inc. (800 697-6975 or 212 269-5550 collect). The dealer managers are BofA Merrill Lynch (888 292-0070 and 980 388-3646 collect), RBC Capital Markets (877 381-2099 and 416 842-6311 collect and 212 618-7822 collect) or Mizuho Securities (866 271-7403 and 212 205-7543 collect).

Garda said Oct. 18 that it planned to offer new senior notes to refinance its senior secured credit facilities and its dollar- and Canadian dollar-denominated senior notes due 2017.

Garda is a Montreal-based provider of business solutions and security services. G4S Cash is a provider of risk management and secure transit of valuables such as currency, diamonds and jewelry.

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