Business
Calumet Specialty Products Partners, L.P. Enters into Support Agreement and Announces Commencement of Exchange Offer for any and all of Outstanding 11.00% Senior Notes due 2025
INDIANAPOLIS, Oct. 23, 2024 /PRNewswire/ -- Calumet, Inc. (NASDAQ: CLMT) (the "Company" or "Calumet") today announced that its wholly owned subsidiaries,
About this update from Calumet, Inc
[{"type":"text","content":"INDIANAPOLIS, Oct. 23, 2024 /PRNewswire/ -- Calumet, Inc. (NASDAQ: CLMT) (the \"Company\" or \"Calumet\") today announced that its wholly owned subsidiaries, Calumet Specialty Products Partners, L.P. (the \"Partnership\") and Calumet Finance Corp. (\"Finance Corp.\" and, together with the Partnership, the \"Issuers\"), with the support of the holders of a majority of their 11.00% Senior Notes due 2025 (the \"Old Notes\"), have commenced a private exchange offer (the \"Exchange Offer\") to each Eligible Holder (as defined below) of their Old Notes to exchange any and all of the Old Notes for newly issued 11.00% Senior Notes due 2026 (the \"New Notes\"), upon the terms and subject to the conditions set forth in the confidential offering memorandum, dated October 23, 2024 (the \"Offering Memorandum\").\n\nThe purpose of the Exchange Offer is to prudently manage liquidity and upcoming maturities by extending the maturity of the Old Notes to 2026 while preserving the ability to retire the New Notes in the near term, supporting the Company's commitment to reduce its debt balances. The Issuers have entered into a Support Agreement, dated October 23, 2024 (the \"Support Agreement\") with holders (the \"Supporting Holders\") of approximately 69% of the aggregate principal amount of outstanding Old Notes. Pursuant to the Support Agreement, the Supporting Holders have agreed to (i) validly tender their Old Notes in the Exchange Offer, (ii) not to withdraw or revoke any Old Notes tendered in the Exchange Offer and (iii) cooperate with and support the Issuers' efforts to consummate the Exchange Offer.\nThe following table sets forth the consideration to be offered to Eligible Holders of the Old Notes in the Exchange Offer:\nTitle of Notes\nCUSIP Numbers / ISIN\nAggregate Principal Amount of Old Notes\nBase Exchange Consideration(1)\nEarly Exchange Premium(1)\nEarly Exchange Consideration(1)(2)\n11.00%Senior Notes due 2025\n131477AT8 / U13077AJ8 US131477AT87 / USU13077AJ86\n$363,541,000\n$950 principal amount of New Notes\n$50 principal amount of New Notes\n$1,000 principal amount of New Notes\n(1) Total principal amount of New Notes for each $1,000 principal amount of Old Notes tendered and accepted for exchange.\n(2) Includes the Base Exchange Consideration and the Early Exchange Premium.\nThe New Notes will have an interest rate of 11.00% pe...