PulteGroup begins tender offer for up to $300 million of senior notes due 2026, 2027

By Taylor Fox

New York, Jan. 28 – PulteGroup, Inc. announced cash tender offers to purchase up to $300 million of its $700 million outstanding 5½% senior notes due 2026 (Cusip: 745867AW1) and $600 million outstanding 5% senior notes due 2027 (Cusip: 745867AX9), according to a news release.

PulteGroup will accept up to $200 million of the 5½% notes at a total consideration price of $1,200 per $1,000 of notes tendered, including an early tender premium of $30 per $1,000 of notes, and up to $100 million of the 5% notes for total consideration of $1,195 per $1,000 of notes tendered, including an early tender premium of $30 per $1,000 of notes.

Priority will be given to the 5½% notes.

Holders who tender notes prior to the 5 p.m. ET on Feb. 10 early tender date will receive the total consideration for the notes.

PulteGroup intends to fund the offer, including interest on the notes, using cash on hand.

Acceptance for tenders may be subject to proration if the aggregate principal amount of notes validly tendered and not validly withdrawn would cause the aggregate maximum tender amount to be exceeded.

Acceptance for tenders of the notes of a series may also be subject to proration if the principal amount of the notes of such series validly tendered and not validly withdrawn is greater than the tender cap applicable to such series. If the tender offers are fully subscribed as of the early tender time, holders who validly tender notes after the early tender time will not have any of their notes accepted for purchase.

Tendered notes may be withdrawn prior to 5 p.m. ET on Feb. 10.

The early settlement date is expected to occur two business days after the early tender time.

The offer will expire at 11:59 p.m. ET on Feb. 25.

The final settlement date is expected to occur two business days after the expiration date.

Citigroup Global Markets Inc. (800 558-3745, 212 723-6106) is the dealer manager, and Global Bondholder Services, Inc. (866 470-4300, 212 430-3774) is the information and tender agent.

PulteGroup is a homebuilder based in Atlanta.

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