AES Gener receives bondholders consent

Chilean generator AES Gener received the necessary consents from holders of Yankee notes and US senior convertible bonds by the December 5 deadline to make certain amendments to the notes, the company said in a statement Friday. Holders of 70.1%, or US$140.2mn, of the total Yankee notes outstanding, and holders of 67.34%, or US$49.8mn, of the total US convertible notes outstanding, gave their consent, the statement said. However, AES Gener has postponed its refinancing plan until early 2004 because bondholders of US$403mn in Chilean convertible bonds due 2005, who also met on December 5, requested more information. The meeting was adjourned and "is expected to be reconvened in early 2004," the statement said. AES Gener needs the bondholders' consent so it can proceed with its tender offers to buy back the notes. Deutsche Bank Securities is managing the tender offers. AES Gener plans to finance its tender offers by issuing US$400mn in new bonds on international markets, increasing capital by up to US$80mn, and receiving the repayment of a US$290mn loan from parent AES. AES Gener had planned to wrap up its refinancing plan by December 31, but the whole process will now have to be delayed until 2004.