Lincoln Financial starts capped tender for 8.75% notes, 6.15% notes

New York, Dec. 5 – Lincoln Financial Group announced a tender offer for up to $175 million of its $487,056,000 of 8.75% senior notes due 2019 and up to $150 million of its $498 million of 6.15% senior notes due 2036.

Pricing for both series of notes will be set at 2 p.m. ET on Dec. 19 using a reference security and a spread.

For the 8.75% notes, the reference security is the 1% Treasury due Nov. 15, 2019 and the spread is 60 basis points. The reference security is the 2.25% Treasury due Aug. 15, 2046 for the 6.15% notes and the spread is 160 bps.

Included in the total is an early tender premium of $30.00 per $1,000 principal amount that will only be paid to those who tender by the early deadline of 5 p.m. ET on Dec. 16.

Lincoln Financial will also pay accrued interest up to but excluding the settlement date, which is expected to be Dec. 20 for early tenders and Jan. 4 for subsequent tenders.

The tender will end at 11:59 p.m. ET on Jan. 3.

Notes tendered by the early deadline will be accepted before those tendered afterwards.

Completion of the offer is subject to conditions including a financing condition.

Wells Fargo Securities (704 410-4760 or 866 309-6316), LLC, BofA Merrill Lynch (980 387-3907 or 888 292-0070) and Citigroup Global Markets, Inc. (212 723-6106 or 800 558-3745) are dealer managers. Global Bondholder Services Corp. (866 470-3900 or 212 430-3774) is information agent and tender agent.

Lincoln Financial is a Radnor, Pa., provider of retirement and insurance services.

© 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.