AIG extends bid to match Validus’ 8.875% notes to existing debt

By Susanna Moon

Chicago, Aug. 7 – American International Group, Inc. said it extended the consent solicitation for the $250 million of 8.875% senior notes due 2040 issued by Validus Holdings, Ltd.

The solicitation will now continue until 5 p.m. ET on Aug. 15, extended from 5 p.m. ET on Aug. 6, according to a company update on Tuesday.

As announced on July 27, AIG is seeking consents to modify or remove some of the covenants relating to the Validus notes.

AIG said that the changes are intended to align the indenture more closely to the terms of AIG’s existing debt.

Following execution of a guarantee on July 26, the Validus notes have a full and unconditional guarantee from AIG, according to a previous announcement.

If the solicitation is successful, AIG will pay a consent fee of $2.50 per $1,000 principal amount to holders who deliver consents.

J.P. Morgan (212 834-8553 or 866 834-4666) is solicitation agent. Global Bondholder Services Corp. (212 430-3774 or 866 807-2200) is information agent and tabulation agent.

AIG is a New York-based insurance company. It closed on the acquisition of Validus in July.

© 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.