Conduent Announces a Cash Tender Offer for Outstanding 10.5% Senior Notes due 2024
Conduent Announces a Cash Tender Offer for Outstanding 10.5% Senior Notes due 2024 |
[29-June-2018] |
FLORHAM PARK, N.J., June 29, 2018 /PRNewswire/ -- Conduent Incorporated (NYSE: CNDT) ("Conduent" and, together with its consolidated subsidiaries, the "Company") announced that Conduent Finance, Inc. and Conduent Business Services, LLC (the "Issuers") commenced a tender offer (the "Tender Offer") to purchase for cash any and all of its outstanding 10.500% Senior Notes due 2024 (the "Notes").
In conjunction with the Tender Offer, the Issuers have also commenced a solicitation of consents (the "Consent Solicitation" and, together with the Tender Offer, the "Offer") to amend the indenture governing the Notes (the "Indenture") to eliminate or modify substantially all the restrictive covenants as well as certain events of default and other provisions contained in the Indenture (collectively, the "Proposed Amendments"). Holders of a majority of the aggregate principal amount outstanding of the Notes are required to consent (the "Requisite Consents") to the Proposed Amendments for them to become effective. The Offer is being made upon the terms and conditions set forth in the Offer to Purchase and Consent Solicitation Statement (the "Offer to Purchase and Consent Solicitation"), June 28, 2018, and in the related Letter of Transmittal and Consent (together, the "Offer Documents"), which set forth a more detailed description of the terms of the Offer. Holders of the Notes are urged to carefully read the Offer Documents before making any decision with respect to the Offer. The following table summarizes certain material terms of the Offer:
Holders who validly tender their Notes and deliver their consents pursuant to the Offer on or prior to 5:00 P.M., New York City time, on July 12, 2018, unless extended or earlier terminated as described in the Offer to Purchase and Consent Solicitation (the "Early Tender Deadline"), and who do not validly withdraw their Notes or do not validly revoke their consents, will be eligible to receive the total consideration (the "Total Consideration"), which includes an early tender payment equal to $50.00 per $1,000 principal amount of tendered Notes. For Notes that have been validly tendered and not validly withdrawn prior to the Early Tender Deadline, if we elect to utilize an early settlement option, settlement is expected to be promptly following the Early Tender Deadline and the satisfaction or waiver of the conditions to the Offer. If we do not elect to utilize the early settlement option, settlement is expected to be promptly following the Expiration Time (as defined below). Holders who properly tender their Notes after the Early Tender Deadline and on or prior to the Expiration Time, and who do not validly withdraw their Notes, will be eligible to receive an amount equal to the Total Consideration less the $50.00 early tender payment per $1,000 principal amount of tendered Notes. The Offer will expire at midnight, New York City time, on July 26, 2018, unless extended or earlier terminated as described in the Offer to Purchase and Consent Solicitation (the "Expiration Time"). In addition, accrued and unpaid interest up to, but not including, the payment date of the Notes will be payable in cash on all validly tendered and accepted Notes. The Issuers' obligation to accept for purchase and to pay for any Notes validly tendered or consents validly delivered pursuant to the Offer is subject to the satisfaction or waiver of certain conditions described in the Offer to Purchase and Consent Solicitation. Notes tendered and consents delivered pursuant to the Offer may be withdrawn at any time before the Early Tender Deadline. The Issuers expressly reserve the right, in their sole discretion, subject to applicable law, to (1) terminate the Offer and not accept for payment any Notes or consents not theretofore accepted for purchase pursuant to the Offer for any reason, (2) waive any and all of the conditions of the Offer, (3) extend the Early Tender Deadline or the Expiration Time and (4) otherwise amend the terms of the Offer in any respect. If the Issuers make a material change in the terms of the Offer or the information concerning the Offer or waive a material condition of the Offer, the Issuers will disseminate additional offering materials and extend the Offer to the extent required by law. Until the Expiration Time, no assurance can be given that the Offer will be completed. The Issuers reserve the absolute right, in their sole discretion, at any time and from time to time, to redeem, in accordance with the Indenture, repurchase or otherwise acquire any Notes outstanding following the Offer that are not purchased pursuant to the Offer. However, nothing in this press release should be construed as a notice of redemption with respect to the Notes. The Company has retained Citigroup Global Markets Inc. to serve as dealer manager (the "Dealer Manager") for the Offer. Questions regarding the terms of the Offer may be directed to the Dealer Manager by telephone at (800) 558-3745 or (212) 723-6106 or in writing at 388 Greenwich Street, 7th Floor, New York, New York 10013. Requests for documents may be directed to Global Bondholder Services Corporation, the information agent and tender agent for the Offer (the "Information Agent and Tender Agent"), by telephone at (866) 470-4200 or in writing at 65 Broadway, Suite 404, New York, New York 10006. None of the Company, the dealer manager or the Information Agent and Tender Agent makes any recommendation in connection with the Offer. Holders must make their own decisions as to whether to tender their Notes, and, if so, the principal amount of Notes to tender. This press release is for informational purposes only and is neither an offer to purchase or sell nor a solicitation of an offer to purchase or sell any securities. The Offer is being made solely by means of the Offer to Purchase and Consent Solicitation dated June 28, 2018 and the related Letter of Transmittal and Consent. In those jurisdictions where the securities, blue sky or other laws require any tender offer to be made by a licensed broker or dealer, the Offer will be deemed to be made on behalf of the Issuers by the Dealer Manager or one or more registered brokers or dealers licensed under the laws of such jurisdiction. Forward Looking Statements About Conduent Conduent's differentiated offerings touch millions of lives every day, including two-thirds of all insured patients in the U.S. and nearly nine million people who travel through toll systems daily. Whether it's digital payments, claims processing, benefit administration, automated tolling, customer care or distributed learning – Conduent serves a majority of the Fortune 100 companies and more than 500 government entities. Conduent is a trademark of Conduent Incorporated in the United States and/or other countries.
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Company Codes: NYSE:CNDT |
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