Terra Property Trust said holders tendered $24.0 million of its 6.00% senior notes due June 30, 2026, equal to 29.89% of that series’ outstanding principal.
Tendering was much lighter for Terra Income Fund 6’s 7.00% senior notes due March 31, 2026, with $1.55 million submitted, or 4.04% of the outstanding principal.
The company did not receive valid consents from holders of the required majority of the Terra Property Trust notes, so the proposed indenture amendments will not take effect. Those amendments would have eliminated substantially all restrictive covenants, certain events of default provisions and certain reporting obligations tied to the notes.
Terra Property Trust had offered to exchange both note series for new secured 7.00% senior notes due March 31, 2029. The exchange offer drew participation from less than one-third of the Terra Property Trust notes and only a small fraction of the Terra Income Fund 6 notes.
The registration statement for the exchange notes was declared effective on March 26, 2026, one day before the company announced the final tender results. As a result of these announcements, the company's shares have moved 0.0% on the market, and are now trading at a price of $23.80. For more information, read the company's full 8-K submission here.
