Accellent gets early tenders for 92% of 8 3/8% notes, 78% of 10% notes

By Susanna Moon

Chicago, Feb. 26 - Accellent Inc. said holders had tendered $368,651,000, or 92.16%, its $400 million 8 3/8% senior secured notes due 2017 and $244,622,000, or 77.66%, $315 million 10% senior subordinated notes due 2017 by the early tender deadline of 5 p.m. ET on Feb. 25.

The offers will end at 11:59 p.m. ET on March 11. They began Feb. 11.

As previously announced, the total purchase price for each $1,000 principal amount is $1,044.19 for the 8 3/8% notes and $1,081.00 for the 10% notes.

The total payments include a $30.00 early tender payment for each $1,000 principal amount of notes tendered by the early tender date.

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

The total payment for the 8 3/8% notes was determined with consideration given to the company's right to redeem up to $40 million of the 8 3/8% notes at 103% of par and the remaining 8 3/8% notes at 104.188% of par, according to a previous company press release.

The total payment for the 10% notes was determined with consideration given to the company's right to redeem the 10% notes at 107.5% of par.

The company previously said it expects to redeem any notes that remain outstanding after the completion of the offers and that it expects the redemption prices to be less than the total offer payments.

The tender offers are conditioned on the completion of the company's acquisition of Lake Region Medical Holdings, Inc. and the receipt of $1.13 billion of financing, which will be used to complete the merger and to refinance the notes and the company's existing credit facilities.

The dealer managers are Goldman Sachs & Co. (800 828 3182 or 212 357-0215) and UBS Securities LLC (888 719-4210 or 203 719-4210). The depositary and information agent is Global Bondholder Services Corp. (866 807-2200 or, for banks and brokers, 212 430-3774).

Accellent provides outsourced manufacturing and engineering services to the medical device industry and is based in Wilmington, Mass.

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