BOGOTA, Colombia, March 14, 2012 /PRNewswire/ -- TGI INTERNATIONAL LTD. (the "Company"), an exempted company with limited liability incorporated under the laws of the Cayman Islands, today announced that it had received, as of 5:00 p.m., New York City time, on March 14, 2012 (the "Consent Date"), tenders and consents ("Consents") from holders of U.S.$669,008,000, or approximately 89.20%, of the U.S.$750,000,000 of aggregate principal amount of the outstanding 9.500% Senior Notes due 2017 (CUSIP No. 871965AA7 and ISIN No. US871965AA70 (144A); CUSIP No. G87734AA0 and ISIN USG87734AA00 (Reg. S)) (the "Notes"), which are unconditionally guaranteed by Transportadora de Gas Internacional S.A. E.S.P., a public services company (empresa de servicios publicos) organized as a stock corporation (sociedad anonima) under the laws of the Republic of Colombia (the "Guarantor"), in connection with the Company's cash tender offer (the "Offer to Purchase") and solicitation of Consents (the "Consent Solicitation") for the Notes, which commenced on March 1, 2012. As a result, the Company has received the requisite Consents (the "Requisite Consents") related to the Consent Solicitation and the withdrawal date (the "Withdrawal Date") has occurred. Notes tendered and Consents delivered after the date hereof may not be withdrawn, except under certain limited circumstances as provided in the Offer to Purchase and Consent Solicitation Statement dated March 1, 2012 (the "Offer to Purchase and Consent Solicitation Statement") or as required by law.
It is expected that the Company will execute (i) an indenture supplement (the "Indenture Supplement") to the indenture, dated as of October 3, 2007, among the Company, the Guarantor, The Bank of New York Mellon (formerly The Bank of New York), as trustee (the "Trustee"), security registrar, paying agent and transfer agent, and The Bank of New York Mellon (Luxembourg) S.A. (formerly The Bank of New York (Luxembourg) S.A.), as Luxembourg paying agent, transfer agent and listing agent (the "Indenture"), under which the Notes were issued to, among other things, eliminate substantially all of the restrictive covenants contained in the indenture and (ii) an amendment (the "Pledge Agreement Amendment") to the assignment and pledge agreement, dated as of October 3, 2007, between the Company and the Trustee (the "Pledge Agreement"), which secures certain obligations under the Indenture, to exempt from the collateral securing the Notes certain amounts to be used to pay the principal portion of Notes repurchased by the Company from Holders that validly tender Notes after the Consent Date (as defined below) but prior to 11:59 p.m., New York City time, on March 28, 2012 (such date and time, as the same may be extended, the "Expiration Date"). Although the Company is expected to execute the Indenture Supplement and the Pledge Agreement Amendment promptly, the Indenture Supplement and the Pledge Agreement Amendment will not become effective until the receipt by the Trustee of an officer's certificate from the Company regarding the purchase of the Notes validly tendered (and not validly withdrawn) pursuant to the terms of the Offer to Purchase and Consent Solicitation Statement on the earlier to occur of the Initial Settlement Date or the Final Settlement Date (each as defined below).
Holders who validly tendered Notes and delivered their Consents at or prior to the Consent Date will receive the total consideration (the "Total Consideration") of U.S.$1,093.21 per U.S.$1,000 principal amount of the Notes accepted for purchase, which includes a consent payment of U.S.$30.00 (the "Consent Payment") in addition to the Tender Consideration (as defined below). Holders who validly tender their Notes after the Consent Date but before the Expiration Date will not receive the Consent Payment, but will receive payment of the tender consideration (the "Tender Consideration") of U.S.$1,063.21 per U.S.$1,000 principal amount of the Notes validly tendered and accepted for purchase on the payment date in accordance with the terms set forth in the Offer to Purchase and Consent Solicitation Statement. The tender offer will expire at the Expiration Date unless extended.
Holders that validly tendered (and did not subsequently validly withdraw) their Notes and validly delivered (and did not subsequently validly withdraw) their Consents pursuant to the Offer to Purchase and the Consent Solicitation at or prior to the Consent Date will, on acceptance of such tenders and Consents by the Company, receive the Total Consideration on or about March 20, 2012, or as soon as practicable thereafter (the "Initial Settlement Date"). Holders that validly tender (and do not subsequently validly withdraw) their Notes and deliver (and do not subsequently validly withdraw) their Consents pursuant to the Offer to Purchase and the Consent Solicitation after the Consent Date, but at or prior to the Expiration Date, will, on acceptance of such tenders and Consents by the Company, receive an amount equal to Tender Consideration on or about March 30, 2012, or as soon as practicable thereafter (the "Final Settlement Date"). In each case, Holders will, on acceptance of such tender and delivery by the Company, receive accrued and unpaid interest up to, but not including, the Initial Settlement Date or the Final Settlement Date, as applicable.
The Company intends to call for redemption any and all Notes not tendered in the Offer to Purchase and the Consent Solicitation at the redemption price set forth in the Indenture. The Company may deliver such notice of redemption as early as the Initial Settlement Date.
The Company expressly reserves the right, in its sole discretion, to terminate the Offer to Purchase and Consent Solicitation and not accept for purchase any tendered Notes for any reason. The Company's obligation to accept for purchase any tendered Notes pursuant to the Offer to Purchase and Consent Solicitation is conditioned upon, among other things, the fulfillment of certain conditions, including the Financing Condition (as defined in the Offer to Purchase and Consent Solicitation Statement). Full details of the terms and conditions of the Offer to Purchase and Consent Solicitation are included in the Offer to Purchase and Consent Solicitation Statement.
Holders can obtain additional copies of the Offer to Purchase and Consent Solicitation Statement and related material from the Information, Tender and Consent Agent, D.F. King & Co., Inc., at (800) 848 -3416 (toll free) or at +1 (212) 269-5550 (collect). The Company has retained Citigroup ("Citigroup") and Credit Suisse Securities (USA) LLC ("Credit Suisse") to act as Dealer Managers and Solicitation Agents. Holders with questions about the Offer to Purchase and Consent Solicitation can contact Citigroup's Liability Management Group at (800) 558-3745 (toll free) or +1 (212) 723-6108 (collect) or Credit Suisse's Liability Management Group at (800) 820-1653 (toll free) or +1 (212) 538-2147 (collect).
The Offer to Purchase and Consent Solicitation are being made solely on the terms and conditions set forth in the Offer to Purchase and Consent Solicitation Statement and the documents delivered in connection therewith. This communication is for informational purposes only and is qualified by reference to the Offer to Purchase and Consent Solicitation Statement. Under no circumstances shall this press release constitute an offer to buy or the solicitation of an offer to sell any securities of the Company. This press release also is not a solicitation of Consents to the proposed amendments to the Indenture or to the Pledge Agreement.
About TGI International Ltd.
The Company is a wholly owned subsidiary of the Guarantor. The Company was incorporated on July 6, 2007 under the Companies Law (2004 Revision) of the Cayman Islands with company registration number WK-190634 to serve as a financing vehicle of the Guarantor solely to issue the Notes and to enter into certain additional transaction documents related to the issuance of the Notes, and to comply with its obligations under the Notes, the Indenture and the other documents related thereto. The Company's registered office is at Ugland House, PO Box 309, South Church Street, George Town, Grand Cayman KY1-1104, Cayman Islands.
About Transportadora de Gas Internacional S.A. E.S.P.
The Guarantor was formed on February 16, 2007 to acquire assets, rights and contracts and assume liabilities of Empresa Colombiana de Gas E.S.P., a Colombian state-owned natural gas transportation company, pursuant to a divestiture process of the natural gas transportation assets, rights and contracts conducted by the national government of Colombia. The Guarantor is one of the two main natural gas transportation companies operating in Colombia, based on transportation capacity, according to information made publicly available by natural gas transportation companies in Colombia and compiled by the Guarantor. The shareholders of the Guarantor are Empresa de Energia de Bogota S.A. E.S.P., a stock corporation (sociedad anonima) organized as a public services company (empresa de servicios publicos) under the laws of the Republic of Colombia, which owns 68.05% of the capital structure of the Guarantor and is engaged in the electricity generation, transmission and distribution business and in the natural gas transportation and distribution business, and Citi Venture Capital (through its investment vehicle Inversiones en Energia Latin America Holding S.L.), which owns 31.92% of the Guarantor and is a leading private equity investor in emerging markets, currently managing over U.S.$7.0 billion in equity investments and committed capital.
This press release includes "forward-looking statements" as defined by the Securities and Exchange Commission. Such statements are those concerning the contemplated transaction and strategic plans, expectations and objectives for future events and operations. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on certain assumptions made by the Company based on its experience and perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements.
This press release is not an offer to purchase, a solicitation of an offer to purchase or a solicitation of consents with respect to any securities. The Offer to Purchase and the Consent Solicitation are being made solely pursuant to the Offer to Purchase and Consent Solicitation Statement.
THE NOTES HAVE NOT BEEN REGISTERED, AND WILL NOT BE REGISTERED, UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT") OR ANY OTHER APPLICABLE SECURITIES LAWS, AND THE NOTES MAY NOT BE OFFERED WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS, EXCEPT (1) TO QUALIFIED INSTITUTIONAL BUYERS AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT ("QIBs"), (2) IN AN OFFSHORE TRANSACTION COMPLYING WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES ACT OR (3) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULES 144 UNDER THE SECURITIES ACT (IF AVAILABLE).
THE OFFER TO PURCHASE AND CONSENT SOLICITATION STATEMENT MAY NOT BE DELIVERED WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OR, U.S. PERSONS, EXCEPT TO (1) QIBs OR (2) DEALERS OR OTHER PROFESSIONAL FIDUCIARIES ORGANIZED, INCORPORATED OR (IF AN INDIVIDUAL) RESIDENT IN THE UNITED STATES HOLDING DISCRETIONARY ACCOUNTS OR SIMILAR ACCOUNTS (OTHER THAN AN ESTATE OR TRUST) FOR THE BENEFIT OR ACCOUNT OF NON-U.S. PERSONS.
THE OFFER TO PURCHASE AND THE CONSENT SOLICITATION IS NOT BEING MADE TO HOLDERS IN ANY JURISDICTION IN WHICH THE MAKING OF THE OFFER TO PURCHASE AND THE CONSENT SOLICITATION OR THE ACCEPTANCE OF THE TENDERED NOTES OR THE CONSENTS WOULD NOT BE IN COMPLIANCE WITH THE LAWS OF SUCH JURISDICTION.
SOURCE TGI International Ltd.