Covanta announces consent solicitations for several tax-exempt bonds

By Wendy Van Sickle

Columbus, Ohio, Oct. 5 – Covanta Holding Corp. said Covert Mergeco, Inc. started a consent solicitation for several series of tax-exempt bonds on Tuesday in connection with Covanta’s buyout by EQT Infrastructure, according to a press release.

The merger would constitute a change of control under the notes or related loan agreements.

The proposed amendments would eliminate the requirement to make a change-of-control offer for the notes or related loan agreements.

Consents are being sought from holders of

• Niagara Area Development Corp.’s series 2018A bonds (Cusip: 653542C4) and series 2018B bonds (Cusip: 653542AD2);

• National Finance Authority’s series 2020A bonds (Cusip: 63607YAH3) and series 2020B bonds (Cusip: 63607YAJ9);

• National Finance Authority’s series 2018A bonds (Cusip: 63607YAA8), series 2018B bonds (Cusip: 63607YAB6) and series 2018C bonds (Cusip: 63607YAC4);

• Pennsylvania Economic Development Financing Authority’s series 2019A bonds (Cusip: 708692BQ0); and

• Virginia Small Business Financing Authority’s series 2018A-1 bonds (Cusip: 928106AQ6).

The consent solicitations will expire at 5 p.m. ET on Oct. 15.

Holders who deliver their consents will be eligible to receive a consent fee of $5.00 in cash for each $1,000 principal amount of bonds for which they deliver consents.

No consent fee will be paid in connection with a series’ consent solicitation if the required consents relating to the applicable bonds are not received.

Approval of the proposed amendments requires consents from noteholders representing a majority of the notes.

The supplemental indenture will become operative on the date the consent fee is paid.

The consent fee will be paid concurrently with the closing of the merger.

No consent fee will be paid if the merger does not close or if the consent solicitation is terminated before the closing date.

Barclays (800 438-3242, 212 528-7581) is the solicitation agent.

D.F. King & Co., Inc. (866 828-6934 of 212 269-5550) is the information, tabulation and paying agent for the offer.

BofA Securities, Inc. (212 449-5081) is the remarketing agent.

Covanta is a Morristown, N.J.-based provider of sustainable waste and energy solutions. EQT is an investment organization.

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