Elizabeth Arden extends tender for 11¾% notes

New York, Jan. 22 - Elizabeth Arden Inc. (B1/B+) said it has extended its tender offer for its 11¾% senior secured notes due 2011 to midnight ET Jan. 29, pushed back from midnight ET Jan. 22.

Elizabeth Arden previously announced on Jan. 9 that it received tenders of 85% of the notes including consents to eliminate substantially all of the restrictive covenants and related events of default and to release all of the collateral securing the notes.

The company redeemed the notes tendered by Jan. 12 on Jan. 13 and the supplemental indenture became effective on that date.

Elizabeth Arden, a Miami Lakes, Fla.-based maker of cosmetics and fragrances, said on Dec. 24 that it had begun a cash tender offer for all of its $104 million of outstanding 11¾% notes and was also soliciting consents to proposed indenture changes.

The company set a now-passed consent deadline of midnight ET Jan. 7 and said that the tender offer would expire at midnight ET Jan. 22, subject to possible extension.

Elizabeth Arden said it would pay $1,200 per $1,000 principal amount of notes tendered and accepted for purchase, including a $20 per $1,000 consent fee to holders tendering by the consent deadline and thus consenting to the proposed indenture changes.

It said that holders tendering their notes after the consent deadline would receive $1,180 per $1,000 principal amount but not the consent payment.

The company said holders could withdraw their tenders and revoke their consents at any time before the consent deadline but not afterwards. It said holders wishing to tender their notes would have to also consent to the indenture changes and could not deliver consents to the indenture changes without also tendering their notes.

Elizabeth Arden also announced on Dec. 24 that it had called for the redemption on Jan. 23 of the $20 million of $155 million of outstanding 10 3/8% notes.

It said that while it planned to fund the redemption of the 10 3/8% notes from the proceeds of the new debt sale, the redemption of the 10 3/8% notes, unlike the tender offer, would not be conditioned on the new debt sale being completed as the tender offer is; the redemption will be funded with the company's revolving credit facility should the tender offer and the sale of the new notes not be consummated.

Questions about the offer may be directed to Marcey Becker, senior vice president, finance, at (203) 462-5809.

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