Covanta receives requisite consents in solicitation for acquisition

Chicago, Sept. 8 – Covanta Holding Corp. announced that it has received the requisite consents related to its consent solicitations for its 6% senior notes due 2027 and its 5% senior notes due 2030, according to a press release on Wednesday.

The company was soliciting consents for the two series in connection with its acquisition by EQT Infrastructure.

The acquisition transaction could constitute a change of control.

The proposed amendments will eliminate the requirement to make a change-of-control offer for the notes and make certain customary changes for a privately held company to the reporting covenant. Additionally, certain subsidiaries of the company will be guarantors of the debt financing within 60 days of the merger.

The company was notified that as of the 5 p.m. ET Sept. 8 deadline, consents were validly delivered and not revoked in an amount exceeding the requisite consents threshold. Approval was required from noteholders representing a majority of the notes.

Holders of each series who validly consented by the deadline are eligible to receive a consent fee of $5 for each $1,000 principal amount of notes for which consents are received.

The supplemental indenture will become operative on the date the consent fee is paid.

The consent fee will be paid concurrently with the closing of the merger.

No consent fee will be paid if the merger does not close, if the consent solicitation is terminated before the closing date or if the requisite consents had not been received.

Barclays (800 438-3242, 212 528-7581) and Credit Suisse Securities (USA) LLC (800 820-1653, 212 325-2476) are the solicitation agents.

D.F. King & Co., Inc is the information, tabulation and paying agent for the offer (888 828-6934, 212 269-5550, covert@dfking.com).

Covanta is a Morristown, N.J.-based provider of sustainable waste and energy solutions. EQT is an investment organization.

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