Argentina's Loma Negra, Caue Finance gets tenders for $161.54 million of 7¼%, 8 7/8% notes

By Angela McDaniels

Tacoma, Wash., July 26 - Loma Negra Compania Industrial Argentina SA and Caue Finance Ltd. received tenders for $161.54 million of notes during tender offers and consent solicitations that expired at 8 a.m. ET on July 26.

Holders tendered $55,212,000, or 55.2%, of Loma Negra's 7¼% senior notes due 2013 and $106,328,000, or 70.9%, of Caue Finance's 8 7/8% senior notes due 2015.

Each series is guaranteed by parent company Camargo Correa SA and InterCement Brasil SA.

Those who tendered by the early tender payment deadline, 5 p.m. ET on July 19, will receive $1,175 per $1,000 principal amount of 8 7/8% notes, including a $165 tender premium and an early tender fee of $10. For the 7¼% notes, the companies will pay $1,170 per $1,000 principal amount, including a $60 tender premium and an early tender fee of $10.

Holders will also receive accrued interest. The payment date is expected to be July 28.

Holders who tendered their notes were required to deliver consents and vice versa.

The companies solicited consents to adopt proposed amendments to the indentures to eliminate substantially all restrictive covenants and some event-of-default provisions. The solicitations were successful, and supplemental indentures containing the amendments have been executed for both series of notes.

The adoption of the amendments for the 8 7/8% notes required the consent of holders of more than half of the outstanding notes.

For the 7¼% notes, the adoption of the amendments required the approval of holders of more than half, or two-thirds for certain amendments, of the notes present or represented at a noteholder meeting held on July 26.

The tender offers began June 28.

Bank of America Merrill Lynch (888 292-0070 or 646 855-3401) was the dealer manager and solicitation agent, and D.F. King & Co., Inc. (212 269-5550 or 800 859-8508) was the information agent.

Loma Negra makes cement, concrete and lime products and is based in Buenos Aires. Caue Finance is based in George Town, Grand Cayman.

Camargo Correa is a construction company based in Sao Paulo, Brazil.

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