Brunswick Corporation (NYSE: BC) has announced the early results of its tender offer to purchase for cash an aggregate principal amount of its 5.100% senior notes due 2052. The company has increased the maximum aggregate principal amount subject to purchase pursuant to the offer from up to an aggregate principal amount of $50,000,000 to up to a maximum aggregate principal amount of $100,000,000.
As of the early tender deadline, the aggregate principal amount of the notes validly tendered and not validly withdrawn in the offer was $111,327,000. Given the increased tender cap of $100,000,000, the company will only accept for purchase the notes with an aggregate principal amount equal to the tender cap. Accordingly, notes validly tendered and not validly withdrawn at or prior to the early tender deadline will be subject to proration, and the company will use a proration rate of approximately 90.2% for such notes.
The total consideration paid in the offer for notes that were validly tendered and not withdrawn at or prior to the early tender deadline and accepted for purchase will be determined by reference to the fixed spread for the notes specified in the table plus the yield to maturity of the reference U.S. Treasury security specified in the table. The total consideration will be inclusive of an early tender premium of $50.00 per $1,000 principal amount of the notes accepted for purchase.
Since the offer for the notes was fully subscribed as of the early tender deadline, the company will not accept for purchase any notes validly tendered after the early tender deadline.
Wells Fargo Securities, LLC is serving as the dealer manager for the offer. Investors with questions regarding the offer may contact Wells Fargo Securities, LLC at (704) 410-4759 (collect) or (866) 309-6316 (toll-free) or [email protected]. D.F. King & Co., Inc. is the depositary and information agent for the offer. Investors with questions regarding the offer may contact D.F. King & Co., Inc. at (800) 967-5068 (toll-free) (banks and brokers can call (646) 981-1284).
This press release is for informational purposes only and is not an offer to buy, or the solicitation of an offer to sell, any of the notes. The full details of the offer are included in the offer to purchase, as amended by this press release. Holders are strongly encouraged to carefully read the offer to purchase, including materials incorporated by reference therein, because they contain important information. As a result of these announcements, the company's shares have moved -1.1% on the market, and are now trading at a price of $66.57. Check out the company's full 8-K submission here.
