Tenet Healthcare wraps tender offer for 9 7/8% notes due 2014

By Susanna Moon

Chicago, June 26 - Tenet Healthcare Corp. said investors tendered $900,059,000 of its 9 7/8% senior notes due 2014 in the offer to purchase up to $1 billion of the notes.

Tenet said on June 12 that it received early tenders for $891.4 million, or 89.14%, of the notes. Since that date, holders tendered an additional $8,659,000 of the notes.

The offer expired at midnight ET on June 25. It began on May 29.

As previously announced, Tenet paid $931,505,844 for the notes tendered by the early tender date, including $40,100,844 in accrued interest. Tenet purchased the notes with proceeds from its $925 million principal amount of 8 7/8% senior secured notes due 2019.

Tenet will pay $8,814,892 for the notes tendered after the early tender date, including $415,662 in accrued interest. The purchase will be funded with cash on hand.

Tenet said it will pay par plus accrued interest for each $1,000 principal amount of the notes, including a premium of $30.00 for notes tendered by 5 p.m. ET on June 11, which was the early tender date.

The tender offer was subject to a $200 million minimum tender condition and completion of a new senior secured notes offering of at least $200 million.

Banc of America Securities LLC (888 292-0070 or collect 646 855-3322), Goldman, Sachs & Co. (800 828-3182 or collect 212 357-4692) and Citi (800 558-3745) were the dealer managers.

Global Bondholder Services Corp. (866 924-2200 or collect 212 430-3774) was the information agent.

Dallas-based Tenet Healthcare owns and operates acute-care hospitals and provides related health care services.

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