E-Trade Financial Corp, an online securities brokerage house, announced yesterday that it received tender offers worth $1.8 billion for a previously announced debt exchange offering.
E-Trade officials said that about $429.6 million of 2011 notes and approximately $1.4 billion of 2017 notes were tendered by the July 1 deadline. That figure includes $230.2 million of 2011 notes and $1 billion of 2017 notes tendered by affiliates of Citadel Investment Group.
The 2011 notes tendered represent Citadel’s total holdings and about 97 percent of non-Citadel holdings, and the 2017 notes tendered represent the maximum of Citadel’s commitment to participate in the exchange offer and about 99 percent of non-Citadel holdings.
The company had previously announced the exchange of more than $1 billion of newly issued zero coupon convertible debentures due 2019 for all of its 8 percent senior notes due 2011 and a portion of its 12.5 percent lien notes due 2017.