Hunt Oil Company of Peru Extends Tender Offer Deadlines for Bondholders

In a significant development, Hunt Oil Company of Peru, also known as HOCP, has announced the extension of its tender offer deadlines for its outstanding senior notes. This extension is crucial for bondholders as it provides them additional time to respond to the tender offers set by the company.

On April 15, 2025, HOCP made the announcement, specifying that the new expiration date for the tender offers would now be 8:00 am New York City time (7:00 am Lima time) on April 22, 2025. This decision seeks to encourage greater participation from noteholders of its 6.375% Trust Enhanced Senior Notes maturing in 2028 and its 8.550% Trust Enhanced Senior Notes due in 2033.

The tender offers, which were originally set to conclude earlier, have created considerable interest among investors since they encompass notable cash offers for both series of bonds. Eligible holders are required to validly tender their notes before the new expiration date to receive the consideration detailed in HOCP's Offer to Purchase issued on March 31, 2025.

Key Details of the Tender Offers

According to HOCP, for bondholders to benefit from the offers, they must act before the stated expiration time. Post 8:00 am on April 22, 2025—referred to as the Withdrawal Date—investors may face restrictions on withdrawing their tenders unless HOCP extends or terminates the offers. If the tender is accepted, payment for the accepted notes is scheduled for April 28, 2025, alongside the accumulated interest from the last payment date up until the settlement date.

This extension period is particularly vital as it allows additional time for investors to assess the associated risks and market conditions before making investment decisions. It provides an opportunity for possible engagement in a financial environment that is continuously evolving.

Performance and Participation

As of the cut-off time on April 14, 2025, reports indicated that approximately 65.01% of the 2028 Notes and 65.33% of the 2033 Notes had been tendered but not withdrawn. This level of participation reflects a significant interest in the offers, highlighting the strategic management of HOCP’s financial obligations and the trust the investors place in the company.

Context on Hunt Oil Company

HOCP’s decision to extend the tender offers corresponds with its operational framework and also signifies its standing in the market, particularly as it plays a crucial role in Peru's natural gas production landscape. Being a part of the Camisea Consortium, HOCP holds a substantial 25.2% stake in significant natural gas fields in the Ucayali Basin, a fact that bolsters its financial stability and investment viability.

The extension of the tender period is not just a tactical financial decision but also an indicator of the company's commitment to maintaining a solid relationship with its investors. HOCP is enhancing its offerings and through strategic extensions, aims to reinforce the confidence of bondholders.

For those who seek to understand the implications of these developments, it’s pertinent to examine the Offer to Purchase’s detailed terms and stay updated via HOCP's official channels or designated agents, such as BofA Securities Inc. and Citigroup Global Markets Inc., who are facilitating the processes involved.

Conclusion

As the new expiration date approaches, bondholders will want to diligently evaluate their options while keeping abreast of market conditions that may impact their decisions. The extension signifies Hunt Oil Company of Peru's proactive approach in managing its capital structure effectively and ensuring that investor interests are duly prioritized amidst the fluctuations in the energy market.