American Greetings extends consent bid for 7 7/8% notes, ups fee

By Marisa Wong

Morgantown, W.Va., March 8 – American Greetings Corp. said it is increasing the consent fee payable in its previously announced solicitation of consents to amend its 7 7/8% senior notes due 2025.

The consent fee has been increased to $20 per $1,000 principal amount. The company originally offered a consent fee of $2.50 per $1,000 principal amount.

In addition, the expiration time has been extended to 5 p.m. ET. on March 12.

The deadline was previously extended to 5 p.m. ET on March 9 from 5 p.m. ET on March 6 and, before that, from 5 p.m. ET on Feb. 27.

The consent solicitation opened on Feb. 20. As previously announced, the company is asking holders to consent to amendments to the note indenture so that the acquisition of no less than 60% of the direct or indirect outstanding equity of the company by Clayton, Dubilier & Rice, LLC or any affiliate would not constitute a change of control and no change-of-control offer would be required in connection with the acquisition.

The company will make the cash payment concurrently with closing of the acquisition.

D.F. King & Co., Inc. (212 269-5550, 800 676-7437 or agc@dfking.com) is the information and tabulation agent. Deutsche Bank Securities Inc. (212 250-7527 or 855 287-1922) is the solicitation agent.

On Wednesday the company also launched a tender offer for any and all of the $400 million of its outstanding 7 7/8% senior notes due 2025.

American Greetings is a Cleveland-based greeting card company.

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