Neovia Logistics receives consents to amend 8 7/8% notes due 2020

New York, July 19 – Neovia Logistics, LLC said that subsidiaries Neovia Logistics Services, LLC and Neovia Logistics Finance Corp. obtained the consents they were seeking to amend their 8 7/8% senior secured notes due 2020.

By the expiration of the solicitation at 5 p.m. ET on July 8 holders had given consents for $396,553,000, or 85%, of the notes.

The issuers have entered into a supplemental indenture implementing the changes, according to a news release.

As announced on July 11, the amendments permit certain building lease obligations and receivables sales not to be treated as indebtedness and permit the current period generally accepted accounting principle revenue recognition standard, rather than the standard in effect at the notes’ issuance five years ago, to be used for covenant calculation purposes.

These amendments align the indenture provisions with similar provisions in the issuers’ parent’s indentures.

Holders who delivered consents will receive $1.50 in cash per $1,000 principal amount of notes.

Neovia needed approval from holders of a majority of the outstanding notes.

D.F. King & Co. (866 896-3192, 212 269-5550 or nlih@dfking.com) is the information agent and tabulation agent.

Irving, Texas-based Neovia is a global non-asset-based provider of service parts logistics.

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