Liberty Mutual Group exercised its early settlement right for the previously announced cash tender offer to buy back $700 million principal amount of its series A junior subordinated notes due March 15, 2037.
Notes that were validly tendered and not validly withdrawn at or before 5:00 p.m. ET on May 22 will be accepted by the company and settled June 4, unless extended. Holders of such notes will receive the tender offer consideration amounting to $1,240 per $1,000 principal amount of notes, including an early tender premium of $50 per $1,000 principal amount of notes.
The total consideration expected to be paid to note holders on the early settlement date is $243.4 million. Additionally, the holders will receive accrued and unpaid interest, rounded to the nearest cent, starting from, and including, the last interest payment date on those notes until, but not including, the early settlement date.
The company expects to accept for purchase on the early settlement date a principal amount of about $196.3 million.
The offer will expire at 11:59 p.m. ET on June 6, unless extended or terminated prior to the expiration date. Final settlement will be June 7, subject to extension.