#United States #Dallas #Cash Tender Offer #HF Sinclair #DINO

HF Sinclair Corporation's Cash Tender Offer for Debt Securities

HF Sinclair Corporation, listed on the NYSE as DINO, recently shared crucial details regarding its cash tender offer aimed at purchasing outstanding notes. This strategic move, announced on January 24, 2025, is part of the company's ongoing financial management initiatives. The cash tender offer is structured to enhance the company’s capital structure and optimize its debt profile.

Overview of the Tender Offer

The tender offer, which was first announced on January 8, 2025, targets specific series of debt securities that are currently outstanding. The pricing terms for these securities have now been confirmed, establishing a framework within which holders can tender their notes. The total tender offer consideration has been determined, factoring in a fixed spread over the yield of corresponding U.S. Treasury Securities. This ensures that the offer remains competitive and attractive to noteholders.

Key Financial Parameters

According to the terms disclosed, the total consideration for each series of notes will include a premium of $30 for every $1,000 principal amount of notes that are accepted by the corporation. The precise amounts for each series are critical, as they dictate the financial implications for both the organization and the holders of the notes.

The tender offer will remain effective until 5:00 PM on February 7, 2025, barring any extensions or early terminations. Notably, holders who choose to participate in the tender offer before the early submission deadline will have the added benefit of receiving the early tender premium. This incentivizes prompt action from holders of the affected series.

Tender Offer Conditions

The corporation has a cap on the amount of certain series that it intends to purchase, particularly due to demand for the 2027 notes, which surpassed its tender cap of $150 million. This restriction reflects a strategic consideration regarding the balance sheet management of HF Sinclair. Understanding such allocations and restrictions will be essential for investors and market analysts monitoring the company's movements in the debt market.

Anticipated Settlement and Payment Timing

The early settlement date for notes that are validly tendered will be January 28, 2025. At this time, the corporation will compensate noteholders for both the total consideration and accrued interests up to the settlement date. This financial strategy is designed to minimize any disruptions in cash flow while allowing HF Sinclair to recalibrate its liabilities efficiently.

Further Information and Contacts

For further inquiries regarding the tender offer, HF Sinclair has designated BofA Securities and Citigroup as lead dealer managers. They can assist with the tender process and facilitate communication regarding any questions that may arise during the tendering period. Specific contact numbers for these firms have been provided, encouraging open lines of communication for both institutions and individual investors.

Conclusion

HF Sinclair's tender offer is a significant component of its ongoing strategy to manage debt effectively. As the global economic landscape evolves, such strategic financial maneuvers become increasingly crucial for maintaining stability and promoting future growth. Stakeholders will need to examine the outcomes of this tender offer closely and understand its implications for the corporation's overall financial health, particularly in light of market volatilities and shifting investor sentiments.

This press release constitutes neither an invitation to tender nor a solicitation of offers to sell the notes. It serves to clarify the terms and expectations surrounding the tender offer, enabling noteholders to make informed decisions during this period.

For more detailed queries regarding the tender offer, investors are encouraged to contact D.F. King & Co., Inc., the designated tender agent.