LINCOLN, Neb., Feb. 6, 2017 /PRNewswire/ -- Nelnet,
Inc. ("Nelnet" or the "Company") announced today the results
to date of its previously announced cash tender offer to purchase
any and all of its outstanding 7.400% Fixed-to-Floating Rate
Capital Efficient Notes (the "Notes") (CUSIP No. 64031NAB4) (the
"Offer to Purchase") and related consent solicitation to effect
certain amendments (the "Amendments") to the indenture (the
"Indenture") governing the Notes (the "Consent Solicitation" and
together with the Offer to Purchase, the "Offer") to amend and
supplement the Indenture to eliminate a provision requiring a
minimum principal amount of the Notes to remain outstanding after
any redemption of the Notes in part by the Company. The terms
and conditions of the Offer to Purchase are set forth in the Offer
to Purchase and Consent Solicitation Statement, dated January 23, 2017 (the "Statement"), and the
related Letter of Transmittal, which have been distributed to
holders of the Notes.
As of 5:00 p.m., New York City time, on February 3, 2017 (the "Consent Payment
Deadline"), the aggregate principal amount of Notes validly
tendered and not validly withdrawn was $29,013,000, representing approximately 58% of
the outstanding Notes not held by the Company and its
affiliates.
As the consent of the holders of a majority in principal amount
of the outstanding Notes (excluding any Notes held by the Company
or its affiliates) has been obtained, the Amendments have been
approved. Accordingly, it is expected that the Company and
the trustee under the Indenture will execute and deliver a
supplemental indenture relating to the Amendments that will become
effective upon acceptance of the Notes for purchase pursuant to the
Offer on the Early Settlement Date (as defined below).
All of the Notes validly tendered and not validly withdrawn as
of the Consent Payment Deadline will be accepted for payment
pursuant to the Offer. Holders of such Notes will be eligible
to receive the Total Consideration of $840.00 per $1,000.00 principal amount of Notes tendered,
which includes $50.00 per
$1,000 principal amount of the Notes
tendered as the Consent Payment, plus any accrued and unpaid
interest on the Notes up to, but not including, the payment
date. Payment is expected to be made today, February 6, 2017 (the "Early Settlement Date")
for such Notes.
The Offer is scheduled to expire at 11:59
p.m., New York City time,
on February 17, 2017, unless extended
or terminated pursuant to the terms of the Offer (the "Expiration
Date"). Tendered Notes may no longer be withdrawn. Holders
who validly tender their Notes after the Consent Payment Deadline
on or prior to the Expiration Date will receive, if such Notes are
accepted for purchase pursuant to the Offer, the Tender Offer
Consideration of $790.00 per
$1,000 principal amount of the Notes,
plus any accrued and unpaid interest on the Notes up to, but not
including, the payment date, but will not receive the Consent
Payment.
The Company has retained Goldman, Sachs & Co. as the dealer
manager for the Offer and solicitation agent for the Consent
Solicitation. Questions regarding the terms of the Offer may be
directed to the Liability Management Group of Goldman, Sachs &
Co. by calling (212) 357-1452 (collect) or (800) 828-3182 (US
toll-free).
Global Bondholder Services Corporation is acting as the
Information Agent and Depositary for the Offer. Requests for the
Statement and the related Letter of Transmittal may be directed to
Global Bondholder Services Corporation at (212) 430-3774 (for
brokers and banks) or (866) 924-2440 (toll-free).
This notice shall not constitute an offer to purchase or a
solicitation of an offer to sell any securities. The complete terms
and conditions of the tender offer are set forth in the Statement
distributed to holders of the Notes. The Offer is being made only
through, and subject to the terms and conditions set forth in, the
Statement.
Nelnet (NYSE: NNI) is a diversified and innovative company
focused on offering educational services, technology solutions,
telecommunications, and asset management. Nelnet helps students and
families plan and pay for their education and makes the
administrative processes for schools more efficient with student
loan servicing, tuition payment processing, school administration
software, and college planning resources. Through its recently
acquired subsidiary, ALLO Communications, Nelnet offers fiber optic
services directly to homes and businesses for ultra-fast internet
and superior telephone and television services. The Company also
makes investments in real estate developments and new ventures. For
more information, visit Nelnet.com.
This release includes "forward-looking statements" within the
meaning of the federal securities laws. You can identify these
statements by the fact that they do not relate strictly to
historical or current facts. These statements contain words such as
"may," "will," "project," "might," "expect," "believe,"
"anticipate," "intend," "could," "would," "estimate," "continue" or
"pursue," or the negative or other variations thereof or comparable
terminology. In particular, they include statements relating to,
among other things, future actions, transition matters, future
performance and the outcomes of contingencies and future financial
results of the Company. These forward-looking statements are based
on current expectations and projections about future events.
Investors are cautioned that forward-looking statements are not
guarantees of future performance or results and involve risks and
uncertainties that cannot be predicted or quantified and,
consequently, the actual performance of the Company may differ
materially from those expressed or implied by such forward-looking
statements.
Please register your Nelnet securities at
www.DealVector.com/Nelnet. Registration is anonymous, but allows us
to communicate with our holders more efficiently.
(code #: nnig)
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SOURCE Nelnet