Car, Inc. seeks to amend notes after sale of shares to MBK Partners

By Cady Vishniac

Detroit, Nov. 16 – Car, Inc. is seeking consents to amend its 6% senior notes due 2021 (XS1266590089), its 6˝% senior notes due 2021 (ISIN: XS1799588642) and its 8 7/8% senior notes due 2022 (ISIN: XS1991398352).

The proposed amendments are intended to facilitate the closing of the Tuesday sale of 442,656,855 shares, or 20.86% of Car, Inc.’s total share value, by Indigo Glamour Co. Ltd., a subsidiary of MBK Partners, Inc., and to better reflect the new capital structure of the company after the acquisition.

Amendments will include changes to the definitions of “permitted holders,” “change of control” and “rating decline” in the provisions of the notes.

Holders who deliver valid consents prior to an early consent deadline of 11 a.m. ET on Nov. 23 will receive early consent payments of $3.50 per $1,000 aggregate principal amount of the 6% 2021 notes and the 2022 notes, and RMB 35 per RMB 10,000 aggregate principal amount of the 6˝% 2021 notes.

Holders who deliver consents prior to the expiration of the consent solicitations at 11 a.m. on Nov. 30 will receive consent payments of $2.50 per $1,000 aggregate principal amount of the 6% 2021 notes and the 2022 notes, and RMB 25 per RMB 10,000 aggregate principal amount of the 6˝% 2021 notes.

The solicitation agents are Houlihan Lokey Capital, Inc. and Houlihan Lokey (China) Ltd. (212 497-7864, (+852 3551 2300; HL_Captain@HL.com).

The information and tabulation agent is D.F. King Ltd. (+44 20 7920 9700, +852 3953 7208; carinc@dfkingltd.com).

Car, Inc. is a Chaoyang, China, car rental and sales company.

© 2015 Prospect News.
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