Stratus purchases 4,995 units in excess cash flow tender offer

By Toni Weeks

San Diego, June 27 - Stratus Technologies Bermuda Holdings Ltd. completed its excess cash flow tender offer for up to 5,000, or $5 million, of its outstanding units on June 27, according to a 6-K filing with the Securities and Exchange Commission.

A total of 4,995 units were purchased. Because more than 5,000 units were validly tendered and not withdrawn by the expiration date, 11:59 p.m. ET on June 22, the company purchased the units on a pro rata basis.

Each unit comprises $480 principal amount of 12% senior secured notes due 2015 issued by Stratus Technologies Bermuda Ltd. and $520 principal amount of 12% senior secured notes due 2015 issued by Stratus Technologies, Inc.

The price on offer is 120% of par plus accrued interest.

The indenture requires the company to offer to purchase the units using 100% of its excess cash flow for the fiscal year ended Feb. 26. If the company's excess cash flow is less than $5 million, the offer amount is set at $5 million.

Stratus is based in Hamilton, Bermuda. It provides continuous availability solutions for enterprise applications via servers, services and software.

© 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.