GFI Group Inc. (OTCMKTS:GFIG), a division of BGC Partners, Inc. (NASDAQ:BGCP), today announced that it has launched a consent solicitation with respect to its 8.375% Senior Notes due 2018, which have been fully and unconditionally guaranteed by BGC Partners.
GFI is soliciting consents from holders of record as of 5:00 p.m. (NY time), on September 10, 2015 to amend the Indenture to modify the reporting covenant so that if BGC guarantees the Notes, the reports that BGC files with the Securities and Exchange Commission (SEC) will be furnished to the Trustee in lieu of GFI’s SEC reports. If the amendment gets into effect, GFI will stop filing annual, quarterly and other reports with the SEC.
GFI is offering to pay each holder of record as of the Record Date who validly delivers its consent by 5:00 p.m. New York time on or before the Expiration Date (September 22, 2015) and does not withdraw its consent prior to the Consent Time (as defined below), a consent fee. The latter will be in the form of a cash payment of $2.50 for each $1,000 in aggregate principal amount of Notes for which a consent is validly delivered and unrevoked.
The Consent Fee will be paid following the Expiration Date upon the satisfaction or waiver of the other conditions.
Holders will not be able to revoke their consents after the execution of the Supplemental Indenture.
To view the official press release, click here.