Dr Pepper Snapple will purchase up to $600m in aggregate principal amount of its 2018 notes for cash only

Dr Pepper Snapple will purchase up to $600m in aggregate principal amount of its 2018 notes for cash only

Dr Pepper Snapple Group (DPSG) has announced a private offer to exchange up to US$600m of its outstanding 6.82% senior notes due in 2018.

The exchange is for a like principal amount of new senior notes due 2020, plus cash, the US soft drinks firm said yesterday (9 December). The company also announced its offer to purchase up to $600m in aggregate principal amount of its 2018 notes for cash only.

The total consideration to be received in the exchange offer for each $1,000 of 2018 notes validly tendered prior to 9 December, will be $1,203.28.

The annual interest rate on the exchange notes will be 4.287%. Both offers will expire at 2359, New York City time, on 29 December, unless extended or terminated by the company. 

Last month, DPSG said it will pay shareholders $0.25 per common share for its most recent fiscal quarter.