Chesapeake Energy records early tenders; ups offer cap for one series

By Susanna Moon

Chicago, April 18 - Chesapeake Energy Corp. announced early tender results for the offers to repurchase some of its notes and increased the maximum purchase amount for its 6¼% senior notes due 2017 to €253.69 million, up from €150 million.

The tender cap for the seven tender offers was originally $1 billion.

Investors tendered the following principal amounts in the offers by the early tender deadline of 5 p.m. ET on April 15:

• $35,547,000 of its $500 million 7 5/8% senior notes due 2013 in the offer for up to $100 million of the notes at a price of $1,102.50 per $1,000 principal amount;

• $137,535,000 of its $1,425,000,000 9½% senior notes due 2015 in the offer for up to $100 million of the notes at a price of $1,210.00;

• €253,690,000 of its €600 million 6¼% notes in the offer for up to €253.69 million of the notes at a price of €1,062.50;

• $437,230,000 of its $1.1 billion 6½% senior notes due 2017 in the offer for up to $150 million of the notes at a price of $1,110.00;

• $125,872,000 of its $600 million 6 7/8% senior notes due 2018 in the offer for up to $150 million of the notes at a price of $1,110.00;

• $130,571,000 of its $800 million 7¼% senior notes due 2018 in the offer for up to $200 million of the notes at a price of $1,140.00; and

• $531,418,000 of its $1.4 billion 6 5/8% senior notes due 2020 in the offer for up to $100 million of the notes at a price of $1,090.00.

Each of the prices noted above includes an early tender premium of $20.00 or €20.00 for each note tendered by the early tender deadline.

Holders will also receive accrued interest up to but excluding the settlement date.

The offers will expire at 11:59 p.m. ET on April 29. They began April 4.

If a tender offer is oversubscribed, the company will accept notes tendered in that offer on a pro rata basis.

Chesapeake also announced separate tender offers to acquire up to $1 billion of its contingent convertible senior notes. These offers will also expire at 11:59 p.m. ET on April 29.

None of the tender offers are conditioned on the results of the other offers.

The dealer managers are Deutsche Bank Securities Inc. (855 287-1922, 212 250-7527 or 44 0 20 7545 8011), Citigroup Global Markets Inc. (800 558-3745, 212 723-6106 or 44 0 20 7986 8969) and RBS Securities Inc. (877 297-9832, 203 897-6145 or 44 0 20 7085 4634).

Global Bondholder Services Corp. (212 430-3774 for banks and brokers, others call 866 470-4200) is the information agent for the dollar-denominated notes, and Lucid Issuer Services Ltd. (+44 0 20 7704 0880 or chesapeake@lucid-is.com) is the information agent for the euro-denominated notes.

Chesapeake produces natural gas and is based in Oklahoma City.

© 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.