Charles Schwab gives early results of offer to swap TD Ameritrade notes

By Rebecca Melvin

Concord, N.H., Sept. 8 – Charles Schwab Corp. gave early results of its Aug. 24 offer to exchange four series of notes issued by TD Ameritrade Holding Corp. for notes to be issued by Schwab, according to a press release.

As of 5 p.m. ET on Sept. 7, the early participation deadline, holders had tendered the following amounts:

• $333,775,000 of the $400 million outstanding 3.75% senior notes due 2024 (Cusip: 87236YAH1), or 83.44% of the issue;

• $416,433,000 of the $500 million outstanding 3.625% senior notes due 2025 (Cusip: 87236YAD0), or 83.29% of the total issue;

• $680,404,000 of the $800 million outstanding 3.3% senior notes due 2027 (Cusip: 87236YAF5), or 85.05% of the total issue; and

• $470,172,000 of the $500 million outstanding 2.75% senior notes due 2029 (Cusip: 87236YAJ7), or 94.03% of the issue.

Schwab is also soliciting consents to amend the indentures to modify or delete some restrictive terms. The consents received by the early participation date were sufficient to adopt the proposed amendments.

The offers and consent solicitations expire at 8 a.m. ET on Sept. 22.

The existing notes are to be exchanged for new notes with the same coupon and maturity date but would list Schwab as issuer.

For noteholders who participated by the early deadline, $1,000 of existing notes are being exchanged for $1,000 of new notes. The total consideration also includes a cash payment of $1.00 per note.

Noteholders who participate after the early deadline are eligible to receive only $970 per note and the cash payment.

The joint lead dealer managers and joint lead solicitation agents for the offer are Credit Suisse (888 820-1653, 212 538-2147) and Citigroup (800 558-3745, 212 723-6106).

Global Bondholder Services Corp. is the exchange agent and information agent (212 430-3774, 866 470-3900, contact@gbsc-usa.com).

Charles Schwab is a San Francisco-based financial services company.

© 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.