(May 31 – 09:50 ET) – Clarica Life Insurance Co.’s U.S. subsidiary, Clarica U.S. Inc., has initiated a tender offer for its 7.25% subordinated guaranteed Eurobonds due in 2004.

Goldman Sachs is acting as the dealer manager for the offer for the bonds, which were originally issued in 1994. They have a principal amount of £125 million. It proposes to buy the outstanding bonds at a fixed spread of 25 basis points over the yield to maturity of the 6.5% United Kingdom Treasury Stock due December 7, 2003, plus accrued and unpaid interest. The offer will expire at 12:00 ET on June 21.

Clarica says the offer, “is being made as part of Clarica’s management of its capital structure since becoming a stock company in 1999.”
-IE Staff