The tender offers to purchase the senior notes include the Mechanicsville, Va.-based company’s 3.875% notes due in 2021 ($233.1 million aggregate amount outstanding) and 4.375% senior notes due in 2025 ($275 million outstanding, plus $15 million sub-cap).
Owens & Minor’s offers will expire at 11:59 p.m. EST on July 2, unless extended or terminated by the company, and no tenders submitted after the expiration will be valid, according to a news release.
The company intends to fund the tender offers with cash on hand, funds from its accounts receivable securitization program and at least $133 million in proceeds from the sale of its Movianto business. If the tender offers are not consummated or the amount of notes accepted for purchase comes in at less than the purchase price, the company may use the remaining proceeds from the Movianto sale to repay or retire other outstanding debt.
Citigroup Global Markets is the dealer manager and solicitation agent in the tender offers and consent solicitation. D.F. King & Co. is serving as tender agent and information agent for the tender offers and consent solicitations.