International Game Technology tallies early tenders for 2024, 2025 notes, ups caps

By Marisa Wong

Los Angeles, Sept. 19 – International Game Technology plc announced the early results of its Sept. 2 offer to purchase for cash up to a maximum acceptance amount of its outstanding $1.1 billion 6˝% senior secured notes due 2025 (ISIN: US460599AC74, USG4863AAC20) and its outstanding €500 million 3˝% senior secured notes due 2024 (ISIN: XS1844998192, XS1844997970), according to a Monday press release.

In addition, the company announced it increased the maximum acceptance amount for both series to $600,279,934 from $500 million and the tender sub-cap for the 2025 notes to $400,001,000 from $350 million.

As of the early tender time at 5 p.m. ET on Sept. 16, the company accepted for purchase $400,001,000 of the 2025 notes and €199,959,000 of the 2024 notes.

An early proration factor of 67.704% was applied to the 2025 notes, which have acceptance priority over the 2024 notes. An early proration factor of 75.25% was applied to the 2024 notes.

The company is offering a total consideration of $1,015 for each $1,000 of 2025 notes and €1,006.25 for each €1,000 of 2024 notes. The total consideration includes an early tender premium of $30 and €30, respectively, for notes tendered by the early tender time.

Holders tendering after the early tender time will only be eligible to receive the tender offer consideration, which is $985 for each $1,000 of 2025 notes and €976.25 for each €1,000 of 2024 notes.

In addition, the company will pay accrued interest up to but excluding the applicable settlement date.

On Monday the company also announced it extended the early settlement date to Sept. 21 from Sept. 20.

The tender offer will expire at 11:59 p.m. ET on Sept. 30.

However, because the offer was oversubscribed as of the early tender time, holders who tender notes after the early tender time will not have any of their notes accepted for purchase.

The offer’s financing condition has been met, according to Monday’s announcement.

Merrill Lynch International (attn.: liability management group; DG.LM-EMEA@bofa.com; 888 292-0070, 980 388-3646 or +44 20 7996 5420), Credit Agricole Securities (USA) Inc. (attn.: liability management/debt capital markets; us.liabilitymanagement@ca-cib.com; 866 807-6030 or 212 261-7802), ING Bank NV, London Branch (attn.: liability management team; liability.management@ing.com; 646 424-8972 or +44 20 7767 6784) and Wells Fargo Securities, LLC (attn.: liability management group; LiabilityManagement@wellsfargo.com; 866 309-6316 or 704 410-4756) are the joint lead dealer managers.

D.F. King & Co. (attn.: Michael Horthman; igt@dfking.com; 800 706-3274 or, for banks and brokers, 212 269-5550) is the tender and information agent.

International Game Technology is a London-based gaming company.

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