JACKSONVILLE, Fla. - Fidelity National Information Services, also known as FIS (NYSE: FIS), has announced the conclusion of its cash purchase offers for several series of its outstanding senior notes. The company also declared an increase in the maximum purchase amount from the initially planned $2.25 billion to approximately $2.531 billion. This adjustment allows for the complete acceptance of notes categorized within Priority Levels 1-7.
The offers, which expired on Monday, were part of a structured buyback initiative outlined in the Offer to Purchase dated February 27, 2024. The initial settlement date is anticipated to be Wednesday, with the guaranteed delivery settlement date expected to follow on Thursday.
The buyback encompassed notes denominated in U.S. dollars, Euros, and Pounds Sterling. According to D.F. King & Co, Inc., the Information and Tender Agent for the offers, the aggregate principal amounts validly tendered and not withdrawn by the expiration date were $2,238,229,000 for Dollar Notes, €187,499,000 for Euro Notes, and £754,757,000 for Sterling Notes.
In detail, FIS has accepted for purchase $1,496,352,000 in Dollar Notes and £754,757,000 in Sterling Notes, excluding those delivered through guaranteed delivery procedures. The revised Maximum Purchase Condition has been met for notes with Acceptance Priority Levels from 1 to 7, and therefore, all such notes tendered and not withdrawn by the expiration date have been accepted. Notes with lower priority levels have not been accepted due to the Maximum Purchase Condition not being met, and these will be returned to the respective holders.
Holders of the accepted notes will receive the total consideration specified in the Offer to Purchase, payable in cash on the applicable settlement date. Additionally, holders will be paid the Accrued Coupon Payment, with interest ceasing to accrue on the initial settlement date for all accepted notes.
The execution of these offers was overseen by several financial institutions, including Citigroup Global Markets Inc., J.P. Morgan Securities LLC, and others serving as lead dealer managers.
This financial maneuver is part of FIS's broader strategy to manage its debt portfolio effectively. The company, a prominent player in the financial services technology sector, provides solutions that support the digital transformation of financial institutions and the broader economy.
The information for this article is based on a press release statement from FIS.
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