Lamar accepts $583.12 million total 6 5/8% notes in tender offer

By Jennifer Chiou

New York, Feb. 27 - Lamar Advertising Co.'s wholly owned subsidiary Lamar Media Corp. announced overall tenders from holders of $583.12 million principal amount of three series of 6 5/8% notes.

The offer ended at midnight ET on Feb. 24. It began on Jan. 26.

The company offered to purchase to up to $700 million of its 6 5/8% senior subordinated notes due 2015, 6 5/8% senior subordinated notes due 2015, series B and 6 5/8% series senior subordinated notes due 2015, series C. The total outstanding principal amount of the notes was $843.1 million.

Of the total tenders, $582.9 million was tallied by midnight ET on Feb. 8, the early tender date, and the company accepted $483.7 million of the notes for early purchase on Feb. 9. It subsequently accepted $99.2 million of early tenders and $220,000 million of tenders from after Feb. 8.

Lamar Media said it paid $1,025.83 per $1,000 principal amount for notes tendered by the early tender time, which included early tender payment of $20.00 per $1,000 of notes.

Holders who tendered their notes after the early tender time did not receive the early tender payment.

Lamar Media also paid accrued interest to but excluding the settlement date.

As reported, the company increased the maximum amount of notes in the offer to $700 million from $600 million on Feb. 6. Before that, the tender offer cap was $500 million.

As previously stated, the purpose of the tender offer was to retire the debt associated with the 6 5/8% notes.

In connection with the tender cap increase, Lamar Media requested a new $100 million term loan A facility under its existing senior credit facility. Lamar Media previously noted that if it obtained the $100 million term loan A facility, it could increase the cap of the tender offer for the 6 5/8% notes.

The tender offer was subject to a financing condition that includes the proceeds of a private offering of $400 million of senior subordinated notes due 2022, together $139.2 million of borrowings under the revolving portion of Lamar Media's senior credit facility.

J.P. Morgan Securities LLC was the dealer manager for the tender offer. Global Bondholder Services Corp. (866 873-5600, banks and brokers call 212 430-3774) was the depositary and information agent.

Lamar is a Baton Rouge, La.-based outdoor advertising company.

© 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.