Tube Lines gets commitments from 75% of 7.4547% noteholders to OK extraordinary resolution

By Toni Weeks

San Luis Obispo, June 18 - Tube Lines (Finance) plc said in a company notice with the London Stock Exchange that it has secured commitments from holders representing more than 75% of the outstanding principal amount of its £76,754,000 of class B 7.4547% guaranteed notes due 2031 to vote in favor of an extraordinary resolution to the trust deed for the notes.

Once the extraordinary resolution is passed at the scheduled noteholders meeting in London on June 27, the supplemental trust deed effecting the changes to the class B notes will be executed, and Tube Lines intends to approve the extraordinary resolution immediately after the meeting.

As previously reported, the company is looking to insert a new condition into the trust deed concerning an issuer call in whole.

The new condition to be considered will state the following:

"The notes may be repaid and redeemed at the option of the issuer in whole (and not in part only) on any business day prior to the due date for final redemption of the notes at the optional redemption amount on the issuer's giving not less than one nor more than 10 days' notice to the noteholders and having notified the note trustee prior to the provision of such notice."

According to a previous notice through the London Stock Exchange, the optional redemption amount will be an amount equal to the outstanding principal amount multiplied by the price, expressed as a percentage, at which the gross redemption yield on the notes on the rate-fixing date is equal to the sum of (a) 0.68% and (b) the gross redemption yield on the fixing date, plus accrued interest up to the redemption date.

The rate-fixing date is slated for June 26.

The principal paying agent is the Bank of New York Mellon, and the Irish paying agent is the Bank of New York Mellon (Ireland) Ltd.

Located in London, the subsidiary of Transport for London (TfL) maintains and upgrades London's underground train system.

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