Citigroup begins tender offers for $153 million of Dryden CDO notes

By Angela McDaniels

Tacoma, Wash., July 25 - Citigroup Global Markets Inc. began two tender offers for $153 million of notes, according to a company news release.

In the first offer, the company is offering to purchase any and all of the $41 million Income Notes due 2016 issued by Dryden VI-Leveraged Loan CDO 2004. The purchase price is $580 per $1,000 principal amount.

If the second offer, the company is offering to purchase any and all of the following notes issued by Dryden VI-Leveraged Loan CDO 2004 and Dryden VI-Leveraged Loan CDO 2004 Inc. at the prices noted, which are per $1,000 of unpaid principal amount:

• $24,519,926.17 of class A-1 floating-rate senior notes due 2016 at $980;

• $19 million class A-2 floating-rate senior notes due 2016 at $970;

• $4 million class B-1 floating-rate deferrable senior subordinated notes due 2016 at $950;

• $24 million class B-2 fixed-rate deferrable senior subordinated notes due 2016 at $960;

• $23 million class C-1 floating-rate deferrable senior subordinated notes due 2016 at $910; and • $5 million class C-2 fixed-rate deferrable senior subordinated notes due 2016 at $925.

In the second offer, holders will also receive accrued interest up to but excluding the settlement date.

The original principal amount of the class A-1 notes was $37 million. This amount has been paid down to $24,519.926.17. The offer consideration is equivalent to $649 per $1,000 original principal amount.

The offers will expire at 11:59 p.m. ET on Aug. 19.

The offers are conditioned on the receipt of tenders for at least $3,848,333 of the Income Notes. They are not conditioned on financing.

Citigroup said holders of Dryden VI's class Q securities due 2016 may participate in the offer, but they must first exchange all of their class Q securities for interests in the underlying components.

Tenders of Income Notes will be accepted in any denomination. Tenders of the remaining notes will only be accepted in minimum denominations of $500,000.

Citigroup is a current owner of $23,485,000 principal amount of Income Notes, but it does not believe that it is an "affiliate" of the issuer within the meaning of the Securities Act.

The information agent and depositary is Global Bondholder Services Corp. (212 430-3774 for banks and brokers, others call 866 294-2200).

Citi is a financial services company based in New York.

© 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.