Lowell Group extends consent solicitation for £275 million 10¾% notes

By Toni Weeks

San Luis Obispo, Calif., Nov. 25 – Lowell Finance Holdings Ltd. subsidiary Lowell Group Financing plc extended the expiration time of its consent solicitation to amend its £275 million principal amount of 10¾% senior secured notes due 2019.

The consent solicitation will now end at noon ET on Dec. 2, extended from noon ET on Nov. 24.

In addition, the company said that consents may be revoked by noteholders prior to, but not on or after, the earlier of the time at which the supplemental indenture is executed and the extended expiration time.

As previously reported, the company is seeking to amend aspects of the 2012 notes indenture to conform provisions to those of the indenture dated March 11, 2014 under which £115 million of 5 7/8% senior secured notes due 2019 was issued.

The company also is seeking to

• Streamline the terms and conditions governing all material outstanding capital markets debt of Lowell and its subsidiaries;

• Facilitate the group’s compliance with the terms and conditions of the 2012 notes indenture and the 2014 indenture; and

• Provide the group with the strategic flexibility available under the 2014 notes indenture.

The adoption of the proposed amendments requires the consents of the holders of at least a majority of the outstanding notes voting as a single class, the release said.

The proposed amendments would amend the maximum amount of debt that may be incurred; the maximum amount of restricted payments that may be made; and the definitions of consolidated leverage ratio and of fixed-charge coverage ratio.

The consent payment will be £2.50 per £1,000 principal amount.

The proposed amendments will become effective upon the execution of the supplemental indenture but will become operative only after settlement of the consent payment.

Lucid Issuer Services Ltd. (44 20 7704 0880 or lowell@lucid-is.com) is the tabulation and information agent. J.P. Morgan Securities plc, at (44 207 1346 346 / 44 207 134 3414 or EMEA_LM@jpmorgan.com) is the solicitation agent.

Lowell is a Leeds, England-based consumer debt services provider.

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