NEXT Properties (Trust 2401) accepted $552.705 million in tenders for notes due in 2044 and 2050, while raising consideration on two other series that remain open through Oct. 20.
The trust said in its Oct. 16 announcement that it accepted all valid tenders in the two older series. It said the tender figures came from information it received from Global Bondholder Services Corporation.
Holders tendered $241.620 million of the $350 million outstanding in 6.950% notes due in 2044 and $311.085 million of the $437.5 million outstanding in 6.390% notes due in 2050. Together, the accepted tenders represented 70.18% of the two series’ combined outstanding principal.
NEXT Properties expects to issue $498.600469 million of 7.731% senior sustainability-linked notes due Oct. 20, 2056, in exchange. For each $1,000 of old principal, the terms provide $948.91 in new-note principal for the 2044 notes and $865.76 for the 2050 notes. Settlement is expected Oct. 20, with accrued interest paid in cash.
The trust also extended its offers for 7.700% senior sustainability-linked notes due in 2032 and 7.375% senior green notes due in 2034. It raised the exchange consideration to $1,077.73 and $1,059.30, respectively, for each $1,000 principal amount tendered. The new notes for both series would be 6.793% senior sustainability-linked notes due Oct. 22, 2036.
At the original Oct. 15 deadline, holders had tendered $173.104 million of the 2032 notes and $222.131 million of the 2034 notes. The combined $395.235 million was 55.69% of the $709.681 million outstanding across both series. NEXT Properties said it had accepted none of those notes as of Oct. 16. The offers now expire Oct. 20 at 5 p.m. ET; settlement is expected Oct. 22, subject to further extension.
The trust intends to start another offer around Oct. 19 for any 2044 and 2050 notes remaining after settlement. The offer would use the same terms and is subject to market and other conditions. If it proceeds, settlement is expected around Oct. 27.
