Radian Announces Results of Exchange Offer
PHILADELPHIA--(BUSINESS WIRE)--Jan. 2, 2013--
Radian Group Inc. (NYSE: RDN) today announced the expiration of its
offer to eligible holders to exchange any and all of Radian’s
outstanding 5.375% Senior Notes due June 15, 2015 (the “Old Notes”) for
a new series of 9.000% Senior Notes due June 15, 2017 (the “New Notes”)
and additional cash consideration, in certain circumstances (the
“Exchange Offer”), for purposes of improving its debt maturity profile.
The Exchange Offer, which commenced on December 3, 2012, expired in
accordance with its terms at 11:59 p.m., New York City time, on December
31, 2012 (the “Expiration Date”).
Based on information provided by the exchange agent to Radian, of the
$250 million aggregate principal amount of Old Notes that was
outstanding as of December 3, 2012, the commencement date of the
Exchange Offer, an aggregate principal amount of $195,176,000 has been
validly tendered and not validly withdrawn as of the Expiration Date. On
January 4, 2012, Radian expects to deliver in exchange for the Old Notes
tendered in the Exchange Offer, an aggregate principal amount of
$195,176,000 of New Notes, plus accrued and unpaid interest on such Old
Notes. In accordance with the terms of the Exchange Offer, Radian also
expects to pay additional aggregate cash consideration of $4,878,925 in
respect of $195,157,000 aggregate principal amount of Old Notes tendered
before 5:00 p.m., New York City time, on the early participation date of
December 14, 2012.
New Notes will only be issued to holders of the Old Notes who have
certified to Radian Group Inc. in an eligibility letter as to certain
matters, including (i) in the United States, their status as “Qualified
Institutional Buyers,” as that term is defined in Rule 144A under the
Securities Act, in a private transaction in reliance upon the exemption
from the registration requirements of the Securities Act provided by
Section 4(a)(2) thereof or (ii) outside the United States, that they are
persons other than “U.S. persons,” as that term is defined in Rule 902
under the Securities Act, in offshore transactions in compliance with
Regulation S under the Securities Act.
The New Notes have not been registered under the Securities Act or any
state securities laws. Therefore, the New Notes may not be offered or
sold in the United States or to any U.S. persons except pursuant to an
exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act and any applicable state securities
laws.
This press release is for informational purposes only and does not
constitute an offer to purchase, the solicitation of an offer to
purchase, or a solicitation of tenders. The information in this press
release is subject in all respects to the terms and conditions set forth
in the Offering Documents. The Exchange Offer is not being made in any
jurisdiction in which the making or acceptance thereof would not be in
compliance with the securities, blue sky or other laws of such
jurisdiction. The Exchange Offer is being made solely pursuant to the
Offering Documents, which more fully set forth and govern the terms and
conditions of the Exchange Offer.
About Radian
Radian Group Inc., headquartered in Philadelphia, provides private
mortgage insurance and related risk mitigation products and services to
mortgage lenders nationwide through its principal operating subsidiary,
Radian Guaranty Inc. These services help promote and preserve
homeownership opportunities for homebuyers, while protecting lenders
from default-related losses on residential first mortgages and
facilitating the sale of low-downpayment mortgages in the secondary
market. Additional information may be found at www.radian.com.
Source: Radian Group Inc.
Radian Group Inc.
Emily Riley, 215-231-1035
emily.riley@radian.com
