CBS Corporation has announced final results of its tender to buy back $500 million of its bonds. The tender was oversubscribed, so the acceptances will be prorated.
$618,415,000 of the three bond issues had been tendered by the early tender date of April 12th to receive the bonus of $30 per $1,000 face value. The total grew to $642,662,000 by the final deadline of April 26th, according to Deutsche Bank Trust Company Americas, which served as the depositary for the offer.
The tenders exceeded the combined maximum tender amount of $500,000,000, and the $441,456,000 in aggregate principal amount of the 6.625% Senior Notes due 2011 exceeded the maximum purchase sublimit of $400 million.
“As a result, in accordance with the acceptance priority levels set forth above, CBS Corporation has accepted for purchase $400,000,000 in aggregate principal amount of 6.625% Senior Notes due 2011 validly tendered and not validly withdrawn (acceptance priority level one), $42,629,000 in aggregate principal amount of 8.625% Debentures due 2012 validly tendered and not validly withdrawn (acceptance priority level two), and $57,371,000 in aggregate principal amount of 5.625% Senior Notes due 2012 validly tendered and not validly withdrawn (acceptance priority level three). The amount of notes accepted for purchase in acceptance priority levels one and three have been prorated by a proration factor of approximately 90.61% and 36.18%, respectively, in the manner described in the Offer to Purchase dated March 30, 2010,” CBS Corp. announced.
Payment for the notes accepted is expected to take place on Wednesday, April 28th.
CBS Corp. has already sold $500 million in new 10-year bonds as it tweaks its debt maturity dates.