Actuant tenders, seeks consents for $250 million 6 7/8% notes due 2017

By Susanna Moon

Chicago, April 2 - Actuant Corp. began a cash tender offer and consent solicitation for its $250 million outstanding principal amount of 6 7/8% senior notes due 2017, according to a company news release.

The total purchase price will be $1,042.16, including a $30.00 premium, for each $1,000 principal amount of notes tendered by 5 p.m. ET on April 13, the consent deadline.

Holders who tender their notes after the consent solicitation will receive the tender offer payment of $1,012.16 per $1,000 of notes.

The company also will pay accrued interest up to but excluding the payment date.

The tender offer will end at midnight ET on April 27.

Tendered notes may not be withdrawn and consents may not be revoked after the consent date.

The company is soliciting consent to amend the notes to eliminate a significant portion of the restrictive covenants in the indenture and eliminate some events of default.

The adoption of the proposed amendments requires the consent of the holders of at least a majority of the outstanding notes.

Holders who tender their notes will be required to consent to the proposed amendments, and holders may not deliver consents to the proposed amendments without tendering their notes.

The proposed amendments will not become operative, however, until holders have delivered consents for a majority of the outstanding notes and those notes have been accepted for payment, according to the release.

The tender offer and consent solicitation are conditioned on holders tendering at least a majority of the outstanding notes, the execution of a supplemental indenture and the issue of at least $250 million of senior notes.

Wells Fargo Securities (866 309-6316 or collect 704 715-8341), Bank of America Merrill Lynch (888 292-0070 or collect 980 387-3907) and J.P. Morgan Securities LLC (866 834-4666 or collect 212 834-3424) are the dealer managers and solicitation agents.

D.F. King & Co. (800 549-6746 or banks and brokers 212 269-5550) is the tender agent and information agent.

Actuant makes industrial products and systems and is based in Menomonee Falls, Wis.

© 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.