My read is that it would be in Blackstone's interest to pay out the notes as soon as possible, so as not to have to pay the increased coupon. Interest would continue to accrue. I don't have a firm feel for how long the take over process will take, but would guess at least a few months (and maybe much longer) given the need for regulatory clearances. The full text from the original prospectus is as follows:
3.9 Increase in Margin upon a Change of Control Event Unless an irrevocable notice under clause 4.3 in relation to a Change of Control Event to redeem all Notes has been given to Holders and the Trustee by Crown pursuant to clause 12 by the 15th Business Day following the first occurrence of a Change of Control Event, the then prevailing Margin will increase by 5.00% per annum with effect from the date on which that Change of Control Event occurs and accordingly where that date falls in an Interest Period, the Interest Payment for that Interest Period will be increased to reflect the Margin applicable to the days remaining in that Interest Period on and from that date. The occurrence of the Change of Control Event and of such increase in the Margin will be notified by Crown to the Holders and the Trustee no later than the 15th Business Day following the relevant Change of Control Event
Hope this helps
CWN Price at posting:
$12.59 Sentiment: Hold Disclosure: Held
