RED BANK, N.J., Oct. 2, 2012 (GLOBE NEWSWIRE) -- Hovnanian Enterprises, Inc. (NYSE:HOV) (the "Company") today announced that the early tender period in respect of the previously announced cash tender offer and consent solicitation (the "Tender Offer") by its wholly owned subsidiary, K. Hovnanian Enterprises, Inc. ("K. Hovnanian"), for any and all of K. Hovnanian's outstanding 10 5/ 8% Senior Secured Notes Due 2016 (the "Notes") expired on October 1, 2012 at 5:00 p.m., New York City time (the "Early Tender Deadline"). The Company further announced that as of the Early Tender Deadline, K. Hovnanian had received tenders and consents from the holders of approximately $637.2 million, or 79.95%, of the total outstanding principal amount of the Notes. The consents received exceed the amount needed to approve the proposed amendments to the indenture under which the Notes were issued (the "Indenture"). The Company also announced that withdrawal rights with respect to Notes tendered in the Tender Offer expired at 5:00 p.m., New York City time, on October 1, 2012.
K. Hovnanian has elected to exercise its early purchase option described in the Offer to Purchase and Consent Solicitation Statement, dated September 18, 2012 (the "Statement"), relating to the Tender Offer. Holders of the Notes who validly tendered and did not validly withdraw their Notes at or prior to the Early Tender Deadline will receive on October 2, 2012 (the "Early Payment Date"), the total consideration of $1,085.00 per $1,000 principal amount of Notes validly tendered at or before the Early Tender Deadline and accepted in the Tender Offer, which includes an early tender premium of $30.00 for each $1,000 principal amount of Notes, plus accrued and unpaid interest from the last interest payment date for the Notes to, but not including, the Early Payment Date.
The Company further announced that the time and date at which the Tender Offer will expire has been extended to 5:00 p.m., New York City time, on November 2, 2012. Holders of Notes who validly tender their Notes after the Early Tender Deadline but before the expiration of the Tender Offer will receive only the Tender Offer Consideration of $1,055.00 per $1,000 principal amount of Notes validly tendered, plus accrued and unpaid interest from the last interest payment date for the Notes to, but not including, the purchase date therefor.