Corus Finance boosts payout, get tenders for more than 75% of £150 million 11½% debentures

By Jennifer Chiou

New York, Feb. 13 - Corus Finance plc said it increased the payout in its tender offer for its £150 million of 11½% guaranteed debenture stock due 2016.

Corus announced it will pay a price based on a yield spread of 37.5 basis points over the yield on the 4.75% Treasury stock due 2015 on the price determination date, expected to be Feb. 28. The company said those who tender both before and after the early deadline will receive the payout.

The early tender deadline was at 11 a.m. ET on Feb. 10 and the offer ends on Feb. 24.

The company also said it received tenders for more than 75% of the securities.

Corus previously said it would pay a price based on a yield spread of 90 bps over the yield on the 4.75% Treasury stock due 2015 for those who tendered their holdings before the early deadline.

The company also was soliciting consents to allow it to buy back the notes at a level calculated using a spread of 110 bps on the price determination date.

Owners of the bonds will be asked to approve the change at a Feb. 24 meeting.

JPMorgan is dealer manager (contact Francis Burkitt (020 7155 4924); John Cavanagh (020 7742 7506) or Tim Waters (020 7155 8101)). Lloyds TSB Registrars is the tender and tabulation agent (01903 702604).

Corus announced the offer on Feb. 1.

The London-based metal company said it is looking to improve its balance sheet and intends to use cash for the offer.

© 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.