Exela Applied sciences Proclaims Provide for its Senior Secured Time period Loans and Secured Notes


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IRVING, Texas, October 27, 2021 (GLOBE NEWSWIRE) – Exela Applied sciences, Inc. (“Exela” or the “Firm”) (NASDAQ: XELA) as we speak introduced that sure of its subsidiaries have launched an providing for all of its senior secured time period loans and its excellent secured notes for $ 900 in money per $ 1,000 principal quantity of time period loans or notes deposited previous to the early deposit time described beneath, topic to prorated. The utmost amount of money payable is $ 225 million and the supply is just not topic to any minimal entry circumstances. If the money supply is oversubscribed, loans and deposited notes will probably be accepted in money on a professional rata foundation (as a single class).

The steadiness of all surrendered loans and notes not accepted in money will probably be exchanged for brand spanking new notes on the premise of a principal quantity of $ 1,000 of recent notes for every principal quantity of $ 1,000 of loans or notes in worth remitted earlier than the early deposit time described beneath. The brand new notes may have a coupon of 11.50% and will probably be first precedence secured notes sharing the collateral on an equal and professional rata foundation with all present loans and notes remaining in circulation. The brand new notes will mature on July 15, 2026, offered that if any of the present loans or notes stay excellent on July 12, 2023, the brand new notes may also mature on July 12, 2023.

This supply is being made underneath the phrases and circumstances set forth within the confidential providing memorandum and the solicitation of consent assertion (the “Providing Memorandum”) dated October 27, 2021 and the Time period Mortgage Trade Settlement and associated elements shared with present outdated time period lenders. Loans on October 27, 2021 (collectively, the “Show Supplies”), respectively.

The excellent 10.00% Senior Secured Notes due 2023 (the “Previous Notes”) had been issued by Exela Intermediate LLC (the “Issuer”) and Exela Finance Inc. (along with the Issuer, the “Issuers”). The excellent senior secured time period loans (the “outdated time period loans” and, along with the outdated notes, the “outdated devices”) had been issued underneath the issuer’s senior credit score settlement dated 12 July 2017 (and as amended on July 13, 2018, April 16, 2019 and Could 20, 2020) (the “Credit score Settlement”). The New Notes (the “New Notes”) will probably be 11.50% Senior Secured Notes, due 2026, issued by the identical issuers.

The Early Bidding Time is 5:00 PM New York time on November 9, 2021 (the “Early Bidding Time”). Holders who ship outdated devices after the Early Deposit Time will NOT be eligible to obtain money and can solely be eligible to obtain a principal quantity of $ 950 of New Notes per $ 1,000 of money quantity. principal of outdated notes or outdated time period loans.

The New Bonds will probably be absolutely and unconditionally assured by every of the restricted nationwide subsidiaries wholly owned by the Issuer which ensures the Previous Bonds and the Previous Time period Loans. The New Notes and the related ensures will probably be secured by a assured first precedence curiosity in considerably all the present and future belongings of the Issuers and the subsidiary guarantors (the “Collateral”), which is similar assure that at the moment secures the Previous Devices. . The New Notes will rank pari passu with all remaining Previous Devices and can include the identical restrictive covenants as these contained within the deed governing the Previous Notes.

Previous surrendered devices may also be paid in money accrued and unpaid curiosity relevant from the final relevant curiosity fee date as much as, however not together with, the settlement date, which is able to happen promptly after expiration. Curiosity on the New Bonds will accrue from (and together with) the date of settlement.

Along side the Provide, the Firm can be looking for consents to amend sure provisions of the Deed Governing the Previous Notes and the Credit score Settlement (the “Proposed Amendments”). If a majority of the full principal quantity of the Previous Securities is remitted or if lenders constituting the “Required Lenders” (as outlined within the Credit score Settlement “) supply their Previous Time period Loans, the provisions containing the restrictive covenants and the instances Default for Previous Notes and / or Previous Time period Loans will probably be eliminated. If a minimum of two-thirds of the full principal quantity of Previous Notes is deposited, the Assure for Previous Notes will probably be launched. Holders can’t convey of their Previous Notes Securities and / or Previous Time period Loans with out consenting to the relevant Proposed Amendments, nonetheless, consumption of the supply is NOT topic to receipt of the required consents.

The Provide is topic to customary closing circumstances described within the Providing Memorandum and Show Supplies, however is NOT topic to a financing situation.

Provide will expire at 11:59 pm New York time on November 24, 2021 (the “Expiration Time”), topic to vary or extension. Previous surrendered devices could also be validly collected at any time earlier than 5:00 p.m. New York time on November 9, 2021, however not after.

Obtainable paperwork and different particulars

The paperwork regarding the provides can be found to all holders of Previous Time period Loans and sure holders of Previous Securities: the Confidential Provide Discover will solely be distributed to eligible holders of Previous Securities who full and return a kind. eligibility confirming that they’re both a “Certified Institutional Purchaser” underneath Rule 144A or not a “US Particular person” underneath Regulation S for functions of relevant securities legal guidelines. Noteholders who want to fulfill an eligibility kind should both go to the web site for this objective at http://www.dfking.com/exela or request directions by sending an electronic mail to [email protected] or by calling DF King & Co., Inc., the Provide Info Agent, at (888) 644-6071 (U.S. toll free) or (212) 269-5550 (pickup). Previous Mortgage Lenders futures may also go to http://www.dfking.com/exela po ur obtain publication supplies.

The New Securities won’t be registered underneath the Securities Act of 1933, as amended (the “Securities Act”), or some other relevant securities regulation and, except so registered, the New Securities. Securities might not be supplied, offered, pledged or in any other case transferred. in the US or for or on behalf of any particular person in the US, besides by advantage of an exemption from the registration necessities thereof. Accordingly, the New Bonds are supplied and issued solely (i) to individuals moderately thought of to be “certified institutional patrons” (as outlined in Rule 144A of the Securities Act) and (ii) to “non-US individuals” who aren’t the US (as outlined in Regulation S of the Securities Act). Non-U.S. People may additionally be topic to further eligibility standards.

All of the phrases and circumstances of the provides are specified within the data paperwork regarding the provides. This press launch is for informational functions solely and doesn’t represent a proposal to purchase or a solicitation of a proposal to promote the New Bonds. Presents are made solely underneath the providing memorandum and show supplies. Presents aren’t made to Holders in any jurisdiction by which making or accepting them wouldn’t adjust to securities legal guidelines, blue sky or different legal guidelines of that jurisdiction.

Warning relating to forward-looking statements

Sure statements included on this press launch aren’t historic information however are forward-looking statements for the needs of the protected harbor provisions underneath the Personal Securities Litigation Reform Act of 1995. Ahead-looking statements are typically accompanied by phrases corresponding to ” can “,” ought to “,” would “,” plan “,” intend “,” anticipate “,” imagine “,” estimate “,” predict “,” potential “,” appear “,” search “, “proceed”, “future”, “will”, “count on”, “prospect” or different related phrases, phrases or expressions. These forward-looking statements embrace statements about our {industry}, future occasions, estimated or anticipated future outcomes and advantages, future alternatives for Exela and different statements that aren’t historic information. These statements are based mostly on the present expectations of Exela administration and aren’t predictions of precise efficiency. These statements are topic to a variety of dangers and uncertainties, together with, with out limitation, these mentioned underneath “Danger Components” in Exela’s annual report and different securities-related paperwork. . As well as, forward-looking statements present Exela’s expectations, plans or forecasts relating to future occasions and views as of the date of this communication. Exela anticipates that subsequent occasions and developments will trigger Exela’s valuations to vary. These forward-looking statements shouldn’t be taken as representing Exela’s assessments as of a date subsequent to the date of this press launch.

For extra data, commentary and views on the Exela {industry}, go to: https://traders.exelatech.com/

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Info posted on the Firm’s web site and / or by means of its social media accounts could also be thought of necessary to traders. Accordingly, traders, media and others within the Firm ought to monitor the Firm’s web site and social media accounts along with Firm press releases, SEC filings, convention calls. public and webcasts.

About Exela Applied sciences

Exela Applied sciences is a frontrunner in Enterprise Course of Automation (BPA), leveraging a worldwide presence and proprietary know-how to ship digital transformation options that enhance high quality, productiveness and person expertise. closing. With a long time of expertise working mission-critical processes, Exela serves a rising listing of over 4,000 shoppers in 50 nations, together with over 60% of the Fortune® 100. Utilizing core applied sciences spanning data administration , workflow automation and built-in communications, Exela software program and companies embrace multisector and departmental resolution suites coping with finance and accounting, human capital administration and authorized administration, in addition to industry-specific options for banking, healthcare, insurance coverage and the general public sector. With cloud-enabled platforms, constructed on a configurable stack of automation modules, and greater than 18,000 staff working in 23 nations, Exela is quickly deploying built-in know-how and operations as a digital journey associate of finish to finish.

Investor and / or media contacts:Vincent KondaveetiE: [email protected]

Mary Beth BenjaminE: [email protected]

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Supply: Exela Applied sciences, Inc.


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