Dana holds one-month tender for $75 million of 5 3/8% notes due 2021

By Susanna Moon

Chicago, March 21 – Dana Inc. is tendering for up to $75 million principal amount of its 5 3/8% senior notes due 2021 until midnight ET at the end of April 17.

The total purchase price will be $1,040.31 per $1,000 principal amount of notes tendered by 5 p.m. ET on April 3, the early tender date.

The total payment includes an early tender premium of $30 per $1,000 of notes.

Holders who tender after the early deadline will receive the total purchase price less the early premium.

The company also will pay accrued interest up to but excluding the settlement date.

The tender offer is contingent on the company securing financing with enough proceeds to fund the notes purchase, according to a company announcement attached to an 8-K filing with the Securities and Exchange Commission.

Also on Tuesday, Dana said wholly owned subsidiary Dana Financing Luxembourg Sarl plans to price $400 million principal amount of senior notes due 2025 in a private offering.

Proceeds also will be used to repay about $180 million of debt of Dana’s subsidiaries Brevini Power Transmission SpA, Brevini Fluid Power SpA and some of their subsidiaries, to repay about $113 million of debt of Danay’s Brazilian subsidiary and for general corporate purposes, the filing noted.

Dana said it reserves the right to increase the $75 million tender cap at any time.

Citigroup Global Markets Inc. (800 558-3745 or 212 723-6106) is the dealer manager. D.F. King & Co., Inc. (866 745-0268, 212 269-5550 or dan@dfking.com) is the tender and information agent.

Dana, formerly Dana Holding Corp., is a supplier of driveline, sealing and thermal-management technologies for passenger, commercial and off-highway vehicles. The company is based in Maumee, Ohio.

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