| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers Tenders > Headlines for 2014 > News item |
Westmoreland Coal tenders for any and all $675.49 million 10¾% notes
By Toni Weeks
San Luis Obispo, Calif., Nov. 17 – Westmoreland Coal Co. began a tender offer for any and all of its outstanding $675,485,000 principal amount of 10¾% senior secured notes due 2018, according to an 8-K filing with the Securities and Exchange Commission.
In connection with the tender offer, the company is also soliciting consents to proposed amendments that would eliminate most of the restrictive covenants and some events of default contained in the indenture governing the notes, for which it needs approval from noteholders representing a majority in principal amount of the notes, as well as release the security for the notes and some events of default relating to the security for the notes, for which it needs approval from noteholders representing at least 75% in principal amount.
Holders who validly tender their notes by 5 p.m. ET on Dec. 1, the consent payment deadline, will receive the total consideration of $1,048.75 per $1,000 principal amount of notes, which includes a consent payment of $30 per $1,000 of notes. Holders tendering after the consent payment deadline will not receive the consent payment. The company is also paying accrued interest.
Holders may not tender their notes without delivering consents or deliver consents without tendering their notes.
Tenders may be withdrawn and consents revoked by the consent payment deadline.
The offer expires at midnight ET on Dec. 15.
The offer is subject to the satisfaction of some conditions, including the receipt of at least $400 million in a private offering of new notes, at least $300 million from a new term loan with BMO Capital Markets Corp. as lead arranger and Bank of Montreal as administrative agent and the requisite consents, as described above.
BMO Capital Markets Corp. (attn: Brian Perman, 800 221-9443 or 212 702-1191) is the dealer manager for the offer and solicitation agent for the consent solicitation.
The independent coal company is based in Englewood, Colo.
© 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.