Cigna Corp. disclosed the early results of its offers to exchange certain outstanding notes issued by subsidiaries for new senior notes to be issued by the parent company plus cash.
The exchange offers are for 12 series of Cigna Holding Co. notes with an aggregate principal amount outstanding of about $4.00 billion; 10 series of Express Scripts Holding Co. notes with an aggregate principal amount outstanding of about $10.20 billion; and one series of Medco Health Solutions Inc. notes with an aggregate principal amount outstanding of $500 million.
About 96.47%, or $964.7 million, of the $1.00 billion aggregate principal amount outstanding of Cigna Holding's 3.875% notes due 2047 were tendered. Meanwhile, about 18.25%, or $3.1 million, of the $16.9 million aggregate principal amount outstanding of the subsidiary's 8.30% notes due 2023 were tendered.
Cigna will accept for exchange all of the 8.30% notes due 2023 and the 7.65% notes due 2023 that have been tendered prior to the early tender date.
The expected early settlement date is Oct. 11. The exchange offer will expire at 5:00 p.m. ET on Nov. 4, unless extended or terminated earlier.
Eligible holders may still tender existing notes until the expiration date. For each $1,000 principal amount, holders will receive $970 of new Cigna notes and no cash consideration.
D.F. King Co. Inc. is the exchange agent and information agent in connection with the offers and solicitations.
