LEVITTOWN, Pa., May 13, 2013 (GLOBE NEWSWIRE) -- StoneMor Partners L.P. (NYSE:STON) ("StoneMor") announced today that its wholly owned subsidiaries, StoneMor Operating LLC, Cornerstone Family Services of West Virginia Subsidiary, Inc. and Osiris Holding of Maryland Subsidiary, Inc. (together, the "Issuers") have commenced a cash tender offer (the "Offer") to purchase any and all of their outstanding $150,000,000 aggregate principal amount of 10.25% senior notes due 2017 (the "2017 Senior Notes"). In connection with the Offer, the Issuers are soliciting consents ("Consent Solicitation") to proposed amendments that would shorten to three business days the minimum notice period for optional redemptions and would eliminate substantially all of the restrictive covenants and certain events of default provisions contained in the indenture governing the 2017 Senior Notes (the "Indenture").
The Offer is scheduled to expire at 11:59 p.m., New York City time, on June 10, 2013, unless extended ("Expiration Time"). Holders who validly tender their 2017 Senior Notes and provide their consents to the amendments to the Indenture before 5:00 p.m., New York City time, on May 24, 2013, unless extended (the "Consent Expiration"), will be eligible to receive the Total Consideration (defined below). The Offer contemplates an early settlement option, so that holders whose 2017 Senior Notes are validly tendered prior to the Consent Expiration and accepted for purchase could receive payment on an initial settlement date, which is expected to be as early as May 28, 2013. Tenders of 2017 Senior Notes may be validly withdrawn and consents may be validly revoked until the Withdrawal Deadline (defined below). Holders who validly tender their 2017 Senior Notes after the Consent Expiration and prior to the Expiration Time will be eligible to receive the Tender Offer Consideration (defined below) on the final settlement date, which is expected to be June 11, 2013.
The Total Consideration for each $1,000 principal amount of 2017 Senior Notes validly tendered and not validly withdrawn prior to the Withdrawal Deadline is $1,100.11, which includes a consent payment of $30.00 per $1,000 principal amount of 2017 Senior Notes. Holders tendering after the Consent Expiration will be eligible to receive only the Tender Offer Consideration, which is $1,070.11 for each $1,000 principal amount of 2017 Senior Notes, and does not include a consent payment. Holders whose 2017 Senior Notes are purchased in the Offer will also receive accrued and unpaid interest from the most recent interest payment date for the 2017 Senior Notes up to, but not including, the applicable payment date.
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