UAE’s Borets gets no more tenders for 7 5/8% notes in reopened offer

By Susanna Moon

Chicago, April 10 – United Arab Emirates’ Borets Finance DAC said investors had tendered no more of its $372,946,000 7 5/8% guaranteed notes due 2018 since the end of the initial offer period at 11 a.m. ET on March 31.

After the offer, there will be $133,278,000 of the notes left outstanding, according to a company update.

The reopened offer ended at 11 a.m. ET on April 7, with settlement set for April 7.

The company began tendering for the notes on March 13 and then extended the timeframe for receiving the early premium on March 22 to accommodate some noteholders.

Holders could tender their notes until 11 a.m. ET on March 29 to receive the early tender premium, extended from March 24.

The company also is soliciting consents to amend the notes to remove substantially all of the covenants and all of the events of default.

As previously announced, investors had tendered $239,668,000 of the 7 5/8% notes by initial offer, and Borets accepted all of the tendered notes for purchase.

The total purchase price will be $1,040 for each $1,000 principal amount of notes tendered by the early tender deadline, which includes an early tender premium of $30 per $1,000 principal amount.

Those who tender their notes after the early deadline will receive $1,010 per $1,000 of notes, or the total amount less the early premium.

Holders also will receive accrued interest.

The company plans to price new fixed coupon five-year senior notes, with proceeds to be used to fund the tender offer.

The offer is contingent on pricing of the new notes as well as on receipt of the required majority, the company noted.

The dealer managers are Goldman Sachs International (+44 20 7774 9862 or liabilitymanagement.eu@gs.com) or HSBC Bank plc (+44 20 7992 6237 or LM_EMEA@hsbc.com), JSC Sberbank CIB (+7 495 787 2363 or liability_management@sberbank-cib.ru) and SIB (Cyprus) Ltd. (+7 495 787 2363 or liability_management@sberbank-cib.ru).

The information and tender agent is D.F. King Ltd. (borets@dfkingltd.com or https://sites.dfkingltd.com/borets, +44 20 7920 9700, +852 3953 7230, borets@dfkingltd.com or https://sites.dfkingltd.com/borets).

Russia-focused Borets Finance is a subsidiary of Borets International Ltd., which makes electrical submersible pumps for the oil and gas industry and has its global headquarters in Dubai.

© 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.