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Unisys Launches $700M Senior Secured Notes Offering And Concurrent Tender Offer, Stock Up

By RTTNews Staff Writer   ✉   | Published:   | Follow Us On Google News

Unisys Corp. (UIS), Wednesday announced plans to privately offer $700 million of Senior Secured Notes to qualified institutional buyers under Rule 144A and to certain international investors under Regulation S.

Simultaneously, the company has launched a cash tender offer to repurchase its outstanding $485 million of 6.875% Senior Secured Notes due November 1, 2027, and is soliciting consents to amend their indenture removing most restrictive covenants, releasing collateral, and modifying default provisions.

Proceeds from the new notes, alongside cash on hand, will fund the tender and related costs, redeem any remaining 2027 notes after their par call date, address a portion of pension and postretirement obligations, and support general corporate needs.

The new notes will be secured by liens on substantially all Unisys and subsidiary assets and guaranteed by key domestic subsidiaries.

UIS is currently trading at $4.95, up $0.29 or 6.33 percent on the New York Stock Exchange.

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