| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers T > Headlines for Tenders > News item |
SuperValu tenders for $300 million 8% senior notes by Dutch auction
By Susanna Moon
Chicago, May 3 - SuperValu Inc. said it began a modified Dutch auction tender offer for up to $300 million of its $1 billion of outstanding 8% senior notes due May 1, 2016.
The total purchase price will range from $1,090 to $1,130 for each $1,000 principal amount of notes tendered by midnight ET on May 15, the early tender date.
The total payment includes $30 for each $1,000 of notes tendered by the early deadline.
Those who tender after the early deadline will receive the total payment less the early premium.
The company also will pay accrued interest from the last interest payment date to but excluding the settlement date.
The tender offer will end at midnight ET on May 30.
Tendered notes may be withdrawn by the early tender deadline.
Holders tendering notes under the offer must specify the minimum total payment they would be willing to receive in exchange for each $1,000 principal amount of notes. The price that holders specify for must be expressed in increments of $2.50 and within the range of the offer.
Those who do tender without specifying a price will be deemed to have specified a price equal to the minimum price.
If the offer is oversubscribed by the early tender date, the company will first accept for purchase notes tendered with a bid price less than the clearing price and, second, those tendered with a bid price equal to the clearing price on a prorated basis, according to a company press release.
The offer is conditioned on completion of a new notes offering with proceeds of at least $300 million.
Goldman, Sachs & Co. (800 828-3182 or collect 212 357-0215) is the dealer manager. Global Bondholder Services Corp. (866 873-6300 or collect 212 430-3774) is the tender agent and information agent.
SuperValu is an Eden Prairie, Minn.-based food wholesaler.
© 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.