Jacuzzi gets tenders for nearly all of 9 5/8% notes by consent deadline

By Laura Lutz

Washington, Dec. 18 - Jacuzzi Brands, Inc. received tenders and consents for $379.950 million, or 99.99%, of its $380 million outstanding principal amount of 9 5/8% senior secured notes due 2010 by the consent deadline of its tender offer at 5 p.m. ET on Dec. 15.

The company also extended the expiration date of the offer to 5 p.m. ET on Jan. 22 from Jan. 3 and the price determination date to 10 a.m. ET on Jan. 5 from Dec. 18.

The price on offer will be set using a yield to the first call date of the sum of the yield of the 3 5/8% U.S. Treasury note due June 30, 2007 plus 50 basis points.

Jacuzzi will pay accrued interest up to but excluding the payment date.

Holders who tendered by the consent deadline will receive the $30 per $1,000 principal amount consent payment, which is included in the calculated price on offer.

The West Palm Beach, Fla., maker of bath and plumbing products is also soliciting consents to amend the note indenture to eliminate substantially all of the material restrictive covenants and certain events of default.

Completion of the tender is subject to conditions including the closing of the acquisition of Jacuzzi by affiliates of Apollo Management, LP, the receipt by Apollo's affiliates of $985 million in new debt financing and the receipt of the consent of the holders of a majority of the notes to the amendments.

Credit Suisse Securities (USA) LLC is dealer manager and solicitation agent (800 820-1653 or 212 538-0652. D.F. King & Co., Inc. is information agent (banks and brokers call 212 269-5550, others call 800 859-8509).

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