Bermuda-based PartnerRe Ltd. announced that it has amended its existing forward sale agreement. Under the terms of the amendment, half the contract will mature according to its original term on October 28, 2008, while the remaining half is extended by 18 months.
“The extension, with an affiliate of Citigroup Global Markets Inc. (the ‘forward counterparty’), allows PartnerRe to deliver 3,366,295 of the 6,732,590 common shares subject to the contract to the forward counterparty at any time during the term of the agreement, which will mature beginning on April 28, 2010,” said the bulletin.
“The future sale price of PartnerRe common shares under the amended half of the equity forward sale agreement will be no less than $59.41 and no more than $84.51 per share (120 percent of the closing price of PartnerRe common stock on July 30, 2008). The future sale price under the half of the contract that is not being extended is unchanged at no less than $59.41 and no more than $79.63 per share.”
The Company also announced that the maturity of half of the current $400 million loan provided by Citibank, N.A. will be extended to July 12, 2010. The remaining half of the loan will retain its original maturity of April 27, 2009.
In addition Partner Re said it has “repurchased one million of its common shares after the close of the market on July 30 for a total cost of approximately $70.24 million, pursuant to its currently effective share repurchase authorization. The Company has approximately 2.9 million common shares remaining under the current authorization which was made effective in November 2007.”
Source: PartnerRe – www.partnerre.com
Topics Mergers & Acquisitions
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