JBS SA units JBS Investments GmbH and JBS USA Food Co. launched cash tender offers to buy a total of up to $1.5 billion of outstanding senior notes.
The JBS units are offering to purchase $1 billion of outstanding JBS Investments 7.750% senior notes due 2020 and up to $500 million of the $1.15 billion outstanding 7.250% senior notes due 2021 of JBS USA Food, JBS USA Lux SA and JBS USA Finance Inc.
JBS Investments is also soliciting consents from the holders of the 2020 notes to amend the indentures governing the notes and reduce the minimum required notice period for their redemption to three days prior to the date fixed for redemption. Holders who tender 2020 notes must also consent to the proposed amendments to the indenture governing the notes.
Holders of the 2020 notes validly tendered and accepted for purchase will receive $993.13 for each $1,000 of the senior notes, plus interest. Holders of the 2021 notes will receive $983.75 for each $1,000 of the senior notes validly tendered and accepted for purchase, plus interest, according to the Oct. 12 news release.
Noteholders who validly tender their notes on or before 5 p.m. ET on Oct. 25 will receive an early tender premium of $30. The tender offers will expire at 11:59 p.m. ET on Nov. 8, unless extended.
Barclays Capital Inc., Banco Bradesco BBI SA, Banco BTG Pactual SA's Cayman Branch, BB Securities Ltd. and Santander Investment Securities Inc. are acting as dealer managers for the tender offers.