| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers A > Headlines for Avondale Mills Inc. > News item |
Avondale exchanges floaters for $46.8 million 10¼% notes
New York, Sept. 1 - Avondale Inc. and its Avondale Mills Inc. exchanged $46.8 million of its 10¼% senior subordinated notes due 2013 for $32.7 million of new senior floating-rate notes due 2012.
The new floaters pay interest at Libor plus 700 basis points, with a Libor floor of 1.75% and a Libor cap of 4.5%, according to an 8-K filing with the Securities and Exchange Commission.
The floaters are callable from July 1, 2005 onwards at 104, declining to par in 2009.
Other terms and conditions are similar to the existing notes.
The exchange, conducted in a privately negotiated transaction, was completed on Aug. 26.
Covered by the exchange were $0.975 million of new notes issued to 3V Capital Master Fund Ltd., $10.57 million of new notes issued to mutual funds including some under the Scudder name managed by Deutsche Asset Management, and $21.157 million of new notes issued to funds and portfolios managed by T. Rowe Price.
It follows similar exchanges on May 27, July 1 and July 30 in which a total of $12.5 million of the 10¼% notes were exchanged for $8.3 million floaters.
The May 27 exchange was for $2.6 million of new notes with funds managed by Cohanzick Management LLC.
The July 1 exchange was for $3.4 million of new notes with portfolios managed by Allstate Investments LLC.
The July 30 exchange was for $2.275 million of new notes, again with funds managed by Cohanzick Management LLC.
In connection with the exchanges, Avondale received waivers of certain restrictions provided under its revolving credit facility with General Electric Capital Corp. and amended certain covenants under its equipment loan with The CIT Group/Equipment Financing Inc.
Avondale, a Monroe, Ga., textile manufacturer, originally sold $150 million of the 10¼% notes on June 25, 2003.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.