Smurfit-Stone gets tenders for 84.3% of 9¾% notes, calls remainder

By Angela McDaniels

Seattle, April 9 - Smurfit-Stone Container Corp. said it received tenders and consents from holders of $546.4 million of Smurfit-Stone Container Enterprises, Inc.'s $648 million 9¾% senior notes due 2011 during a tender offer that expired on Friday.

The tender offer and a consent solicitation to eliminate substantially all of the restrictive covenants and some event-of-default provisions in the note indenture began on March 23.

Holders of $546.167 million of the notes had tendered as of March 23, the early tender deadline. They were paid $1,035 per $1,000 principal amount of notes tendered, which included a $30 consent payment, plus accrued interest on March 26.

Holders who tendered after the early tender date will receive $1,005 per $1,000 principal amount of notes tendered plus accrued interest on or about April 9, according to a company news release.

Deutsche Bank was the dealer manager and consent solicitation agent (call collect 212 250-7772), and D.F. King & Co., Inc. was the information agent (call collect 212 269-5550 or 800 669-5550).

In addition, Smurfit-Stone said it will redeem the $101.6 million of notes that remain outstanding at 103.25% of par plus accrued interest on May 9.

Additional information on the redemption may be obtained from note trustee the Bank of New York (800 254-2826).

Smurfit-Stone, a Chicago-based manufacturer of paperboard and paper-based packaging, said that the notes were originally issued by its predecessor, Stone Container Corp.

© 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.