London, UK, Dec. 9, 2004 (PRIMEZONE) -- EQUITABLE LIFE ASSURANCE SOCIETY ("THE SOCIETY") ANNOUNCEMENT OF EXTENSION AND INCREASE IN PRICE RANGE OF THE INVITATION TO TENDER TO HOLDERS OF GBP350,000,000 8 PER CENT UNDATED SUBORDINATED GUARANTEED BONDS OF EQUITABLE LIFE FINANCE PLC (THE "BONDS").
Summary:
- Duration of the Invitation: the period for submitting offers will be extended so that it will now expire at 3:00 pm London time on 23 December 2004.
- Offer price range: the prices at which Bonds may be tendered has been increased to the range of GBP900 to GBP980 per GBP1,000 plus accrued interest.
- Irrevocable undertakings: the Society has received irrevocable undertakings from Bondholders to offer to sell GBP50 million principal amount of Bonds at prices within the new range specified above.
The Equitable Life Assurance Society ("the Society") announces, in connection with its 4 November 2004 invitation to holders of the Bonds to submit offers to sell Bonds to the Society for cash (the "Invitation to Tender"), that it has further extended the Invitation to Tender so that it will now expire at 3:00 pm London time on 23 December 2004.
The Society has also increased the price range within which Bondholders are invited to submit offers to sell in respect of the Bonds held by them to the effect that each Bondholder is now invited to submit offers to sell for cash any or all of the Bonds held by such Bondholder to the Society at a price designated by such Bondholder, being not greater than GBP980 nor less than GBP900 for every GBP1,000 in principal amount of Bonds held, together with a sum equivalent to accrued interest up to the Settlement Date. Accordingly the maximum purchase price for the purpose of the Invitation to Tender is now increased to GBP980 per GBP1,000 principal amount of Bonds and the minimum purchase price for the purpose of the Invitation to Tender is now increased to GBP900 per GBP1,000 principal amount of Bonds.
In addition, the minimum level of tenders required to be submitted as a pre-condition for the Society to accept tenders has been changed. The Society will accept tenders of Bonds, subject to the terms and conditions of the Invitation to Tender, provided that the aggregate principal amount of Bonds so tendered is at least equal to a minimum amount of GBP50 million.
Except as indicated above, the terms and conditions of the Invitation to Tender remain unchanged. In particular, the Invitation Amount, being the aggregate maximum amount of GBP260 million that the Society will pay, excluding an amount equal to accrued interest, in purchasing Bonds pursuant to the Invitation, is unchanged.
The Society has received irrevocable undertakings from Bondholders to offer to sell GBP50 million principal amount of Bonds at prices within the range specified above pursuant to the Invitation to Tender.
As at 3:00 pm London time on 8 December 2004 approximately GBP300,000 principal amount of Bonds had been tendered at a price of GBP800 per GBP1,000 principal amount of Bonds. These tenders will remain valid for the purpose of the Invitation to Tender and will entitle tenderers to receive the Purchase Price (plus an amount equal to accrued interest) for Bonds purchased pursuant to the Invitation to Tender. Pursuant to the terms of the Invitation to Tender offers of tendered Bonds may be withdrawn at any time prior to the Expiration Time on 23 December 2004.
A notice relating to this extension and increase in the price range of the Invitation to Tender is being distributed to Bondholders through the relevant clearing systems. Bondholders may also obtain copies of this notice and of the other documentation containing the terms and conditions of the Invitation from Citibank N.A. as Tender Agent. This announcement is not an offer to purchase, a solicitation of an offer to purchase, or a solicitation of an offer to sell any Bonds. Offers to sell Bonds may only be made pursuant to the terms of the Invitation to Tender documentation distributed through the relevant clearing systems.
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