Ball seeks to amend 7¾% '06, 8¼% '08 notes.

Ball Corp. (Ba3/BB) said it is soliciting consents from holders of its 7¾% senior notes due 2006 and 8¼% senior subordinated notes due 2008 to amend certain provisions of the indentures governing the notes.

The Broomfield, Colo. packaging company said amending the notes will permit it to own Schmalbach-Lubeca AG and other foreign operations in a more tax efficient manner. The company announced on Aug. 29 it would be acquiring Schmalbach-Lubeca for $900 million. Closing is expected in December 2002.

While the acquisition depends on the company obtaining financing - Ball is currently planning a new credit facility and a sale of $200 million of junk bonds - it does not depend on obtaining consents to amend the note indentures.

Noteholders who consent to the indenture change by the expiry date will receive a cash payment of $2.50 per $1,000 principal amount of notes if the amendment is approved and the acquisition of Schmalbach-Lubeca is completed.

The consent solicitation is subject to approval by holders of a majority by aggregate principal amount of the notes.

The expiry date for the consent solicitation is 5.00 p.m. ET on Dec. 3, 2002.

More information is available from Lehman Brothers Inc. at 800 438-3242 or 212 528-7581 and a copy of the consent solicitation is available from Georgeson Shareholder Communications at 866 423-4873 or 212 440-9800.

© 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.