B&G Foods Inc. (BGS) announced that it plans to offer $700.0 million aggregate principal amount of senior notes due 2021. The Notes will be guaranteed on a senior unsecured basis by certain subsidiaries of B&G Foods.
The company said it intends to use the proceeds of the offering to purchase all $248.5 million aggregate principal amount of its existing 7.625% senior notes due 2018 pursuant to a cash tender offer announced today, or otherwise redeem the existing notes, repay $222.2 million aggregate principal amount of tranche B term loans and approximately $40.0 million of revolving loans under B&G Foods' credit agreement, and to pay related premiums, fees and expenses.
B&G Foods intends to use any remaining net proceeds for general corporate purposes.
In a separate press release, B&G Foods announced that it has launched a cash tender offer and consent solicitation for $248.5 million aggregate principal amount of its existing 7.625% senior notes due 2018.
Holders who validly tender their Notes and provide their consents to the Proposed Amendments prior to 5:00 p.m., New York City time, on June 3, 2013, unless extended by the Company in its sole discretion , shall receive $1,080.90 per $1,000 principal amount of Notes, plus any accrued and unpaid interest on the Notes up to, but not including, the payment date for such Notes.
The company stated that holders who validly tender their Notes after the Consent Date, but prior to the expiration of the tender offer, shall receive $1050.90 per $1,000 principal amount of Notes, plus any accrued and unpaid interest on the Notes up to, but not including, the payment date for such Notes. Holders of Notes tendered after the Consent Date will not receive a consent payment.
The tender offer will expire at 11:59 p.m., New York City time, on June 17, 2013, unless extended or earlier terminated. Tendered Notes may be withdrawn at any time on or prior to 5:00 p.m., New York City time, on June 3, 2013 unless extended.
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