CIT Group wraps one-month tender for $800 million of three series

By Susanna Moon

Chicago, Sept. 29 – CIT Group Inc. said investors had tendered $1.3 billion principal amount of three series of notes as of the early deadline of 5 p.m. ET on Sept. 28.

CIT increased the series cap for its 2020 notes by about $2 million, but the overall tender offer remains $800 million, according to a company update on Friday.

As announced Sept. 15, the issuer is tendering for up to $800 million principal amount of the three note series until 11:59 p.m. ET on Oct. 13.

Holders had tendered the following amounts as of the early deadline, with the notes listed in order of priority acceptance levels with the total purchase price for each $1,000 principal amount as follows:

• $398 million of the $781 million 5½% series C notes due 2019 with a total purchase price of $1,047.50;

• $323 million of the $750 million 5 3/8% senior notes due 2020 with a tender sub-cap of $302 million, up from $300 million, and a total purchase price of $1,075; and

• $572 million of the $1.25 billion 5% senior notes due 2022 with a tender sub-cap of $100 million and a total purchase price of $1,090.

CIT said it accepted for purchase all of the tendered 5½% notes, $302 million, or 93.5%, of the 5 3/8% notes and $100 million, or 17.5%, of the 5% notes.

The total purchase price includes an early tender premium of $30.00 per $1,000 principal amount of notes tendered by the early deadline.

Holders who tender after the early date will receive the total amount less the early premium.

The issuer also will pay accrued interest up to but excluding the settlement date of Sept. 29.

All notes tendered before the early deadline will be accepted before those tendered afterward.

The tender is not conditioned upon any minimum amount of notes being tendered.

CIT expects to use cash and available liquidity to fund the offer, according to a company announcement.

BofA Merrill Lynch (888 292-0070 or 980 388-3646) is the dealer manager. D. F. King & Co., Inc. (800 581-5238 or cit@dfking.com) is the depositary and tender agent.

CIT Group is a New York-based bank holding company.

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