AMC Entertainment completes tender offer for 8¾% notes due 2019

By Toni Weeks

San Luis Obispo, Calif., Feb. 13 - AMC Entertainment Inc. said it completed the cash tender offer for its 8¾% senior notes due 2019 after taking in tenders for $463,964,000, or 77.33%, of the $600 million principal amount of notes by the offer's expiration date, 11:59 p.m. ET on Feb. 12.

Of that amount, AMC accepted for purchase $463.95 million of the notes by the early consent payment deadline at 5 p.m. ET on Jan. 29.

As reported, the company received enough consents to amend the note indenture to eliminate substantially all of the restrictive covenants and events of default provisions. The supplemental indenture has become operative.

The purchase price was $1,068.75 for each $1,000 principal amount of notes tendered by the consent deadline, including a consent payment of $30.00, plus accrued interest.

Those who tendered after the consent deadline will receive the total payment less the consent payment. Holders also will receive accrued interest to but excluding the settlement date.

The offer was conditioned on the issue of debt with enough proceeds to fund the offer, and the company priced an upsized $375 million issue of eight-year senior subordinated notes (B3/B-) at par to yield 5 7/8% on Feb. 4.

Global Bondholder Services Corp. (866 807-2200 or 212 430-3774) was the information agent. Citigroup Global Markets Inc. (800 558-3745 and 212 723-6106) was the dealer manager.

AMC, a Leawood, Kan.-based movie exhibitor, began the tender offer on Jan. 16.

© 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.