Teksid Aluminum extends consent solicitation, tender offer for 11 3/8% notes

By Angela McDaniels

Seattle, Dec. 1 - Teksid Aluminum Luxembourg Sarl, SCA extended the consent solicitation for its €240 million outstanding principal amount of 11 3/8% senior notes due 2011 to 10 a.m. ET on Dec. 22 from Dec. 1 and the tender offer for the notes to 10 a.m. ET on Dec. 29 from Dec. 15.

The company had received no tenders or consents as of Nov. 30, according to a company news release.

Noteholders will receive €970 for each €1,000 principal amount of notes tendered, which includes a €20 consent payment for notes tendered before the consent deadline. Noteholders will also receive accrued interest.

Teksid Aluminum is seeking consents to amend or eliminate most of the restrictive covenants in the note indenture and the registration rights agreement.

The company is making the tender offer in connection with its proposed acquisition by Tenedora Nemak SA de CV, a subsidiary of Alfa SAB de CV, of Teksid's operations in North America, South America, China and Poland, except for its lost foam operations in Alabama.

Settlement of the tender offer depends on completion of the acquisition, the receipt of consents from holders of a majority of the notes and some additional conditions.

Lazard Freres & Co. LLC (800 LAZ-F144 or 212 632-6000) is the dealer manager and solicitation agent. The Bank of New York and The Bank of New York (Luxembourg) SA (44 207 964-6461) are the information agents.

Teksid Aluminum manufactures aluminum engine castings for the automobile industry and is based in Carmagnola, Italy.

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