CAP to Spend $150m in 2036 Buyback

Holders of Chilean steelmaker CAP’s 2036 bonds have agreed to sell back $130m (65%) of the bonds in a tender offer, meaning it will spend $149m on the repurchase. CAP offered holders of the $200m in outstanding 7.375% 2036 bonds $1,117.33 per $1,000 principal in the offer expiring Tuesday. Citi was dealer manager. The 2036s were originally sold in 2006 through Citi and HSBC and priced at 99.761 to yield 7.395% or 250bp over. The BBB minus rated CAP recently extended a 3-year loan into a 5-year facility, upsizing to $200m from an original $150m.