Asbury Automotive begins tender offer for $300 million 8.375% notes

By Susanna Moon

Chicago, Nov. 19 – Asbury Automotive Group, Inc. said it began a cash tender offer for its $300 million outstanding principal amount of 8.375% senior subordinated notes due 2020.

The company also is soliciting consents to amend the notes, and holders who tender their notes in the offer will be deemed to have consented to the proposed amendments, according to a company press release.

The total purchase price will be $1,114.29, including a $30.00 consent payment, per $1,000 principal amount of notes tendered by 5 p.m. ET on Dec. 3, the consent payment deadline.

Notes tendered by the early deadline will be settled on Dec. 4.

Holders who tender their notes after the consent deadline will receive $1,084.29 per $1,000 principal amount.

The offer will end at 8 a.m. ET on Dec. 18, with final settlement set for the same day.

The company also will pay accrued interest up to but excluding the payment date.

Tendered notes may be withdrawn by the early tender deadline.

The offer is conditioned upon obtaining tenders for a majority of the outstanding notes and completion of a debt financing in an amount of at least $350 million, the press release noted.

The company said it intends to redeem any notes that remain outstanding after completion of the offer.

BofA Merrill Lynch (888 292-0070 or 980 388-3646 collect) is the dealer manager and solicitation agent. D.F. King & Co., Inc. (866 745-0273 or 212 269-5550 collect) is the information agent.

Asbury is a Duluth, Ga.-based automotive retailer.

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