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Calumet Specialty Products Partners, L.P. Enters into Support Agreement and Announces Commencement of Exchange Offer for up to $200 Million of Outstanding 7.625% Senior Notes due 2022 and Consent Solicitation for Outstanding 11.00% Senior Notes due 2025
INDIANAPOLIS, July 6, 2020 /PRNewswire/ -- Calumet Specialty Products Partners, L.P. ("Calumet" or the "Company") (NASDAQ: CLMT) and Calumet Finance Corp.
About this update from Calumet, Inc
[{"type":"text","content":"INDIANAPOLIS, July 6, 2020 /PRNewswire/ -- Calumet Specialty Products Partners, L.P. (\"Calumet\" or the \"Company\") (NASDAQ: CLMT) and Calumet Finance Corp. (\"Finance Corp.\" and, together with the Company, the \"Issuers\") today announced that, with the support of the holders of a majority of their 7.625% Senior Notes due 2022 (the \"2022 Notes\") and 2025 Notes (as defined below), they have commenced a private exchange offer (the \"Exchange Offer\") to each Eligible Holder (as defined below) of their 2022 Notes to exchange up to $200 million aggregate principal amount of 2022 Notes for up to $200 million aggregate principal amount (the \"Maximum Exchange Amount\") of newly issued 9.25% Senior Secured First Lien Notes due 2024 (the \"New Notes\"), upon the terms and subject to the conditions set forth in the confidential offering memorandum, dated July 6, 2020 (the \"Offering Memorandum\"). \nThe Issuers have entered into a Support Agreement, dated July 6, 2020 (the \"Support Agreement\") with holders (the \"Supporting Holders\") of approximately 55.9% of the aggregate principal amount of outstanding 2022 Notes and 65.8% of the aggregate principal amount of outstanding 2025 Notes. Pursuant to the Support Agreement, the Supporting Holders have agreed to (i) validly tender their 2022 Notes in the Exchange Offer, (ii) deliver their Consents (as defined below) in connection with the Consent Solicitation (as defined below), (iii) not to withdraw or revoke any 2022 Notes tendered and any Consents delivered in the Exchange Offer and the Consent Solicitation, respectively, and (iv) cooperate with and support the Issuers' efforts to consummate the Exchange Offer and Consent Solicitation.\nThe following table sets forth the consideration to be offered to Eligible Holders of the 2022 Notes in the Exchange Offer:\nTitle of Notes\nCUSIP No. /\n ISIN\nAggregate Principal Amount of 2022 NotesOutstanding\nEarly Exchange Consideration(1)\n \nBase Exchange Consideration(1)\n7.625% Senior Notes due 2022\n131477AL5 /\nUS131477AL51\n \n$350,000,000\n$1,000 principal amount of New Notes\n$950 principal amount of New Notes\n_________________\n(1)\nTotal principal amount of New Notes for each $1,000 principal amount of 2022 Notes tendered and accepted for exchange.\nThe Issuers will accept 2022 Notes tendered by Eligible Holders (and not validly wi...