Hanger recently announced the solicitation of consents from holders of its $200,000,000 aggregate principal amount 7⅛% Senior Notes due 2018. Hanger will amend and waive certain provisions of the indenture pursuant to which the notes were issued, according to a company press release.
The proposed amendment and waiver will amend, effective Sept. 29, 2014, the reporting covenant in the indenture to eliminate until Nov. 16 any obligation for Hanger to deliver to the trustee or the noteholders the following reports required to be filed or furnished with the Securities and Exchange Commission (SEC): Form 10-Qs for the periods ended Sept. 30, 2014, March 31 and June 30; and Form 10-K for the period ended Dec. 31, 2014.
According to the release, the proposed amendment and waiver also waives any default or event of default under the indenture that may occur or exist as a result of or in connection with Hanger’s failure to timely deliver to the trustee or the noteholders, or file with the SEC, the delayed SEC reports, provided that such delayed SEC reports are delivered to the trustee or the noteholders or filed with the SEC by Nov. 16.
The consent solicitation will expire at 5 p.m. EST, on July 8. Only holders of record of the notes as of 5 p.m. EST, on June 29 are eligible to deliver consents to the proposed amendment and waiver in the consent solicitation. Hanger will pay to the holders who delivered valid and unrevoked consents prior to the expiration time a cash payment of $2.50 per $1,000 principal amount of notes for which consents have been delivered by such holder, subject to the satisfaction or waiver of all of the conditions of the consent solicitation, according to the press release.
Copies of the Notice of Consent Solicitation, the consent form and other related documents may be obtained from D.F. King & Co., the information and tabulation agent, by calling (212) 269-5550 (collect) or (866) 796-1245 (toll-free). Holders of the notes are urged to review the Notice of Consent Solicitation and the consent form for the detailed terms of the Notice of Consent Solicitation and the procedures for consenting to the proposed amendment and waiver.
For more information: Any persons with questions regarding the consent solicitation should contact the Solicitation Agent, Wells Fargo Securities, at (704) 410-4760 (collect) or (866) 309-6316 (toll-free).