SOURCE: Newland International Properties Corp.

October 09, 2013 12:32 ET

Newland International Properties Corp. Announces Consent Solicitation Regarding Certain Proposed Amendments

PANAMA CITY, PANAMA--(Marketwired - October 09, 2013) - Newland International Properties, Corp. ("Newland"), announced today that it has concluded discussions with a steering committee representing a majority of the holders of its 9.5% Senior Secured Notes due 2017 (the "Notes") leading to certain amendments to its indenture, dated as of July 3, 2013, between Newland and CSC Trust Company of Delaware, as trustee, pursuant to which the Notes were issued.

The steering committee has provided its support to the proposed amendments which will enable Newland to apply a portion of the net proceeds from the sale of the casino located in its project in Panama City, Panama, to its January 3, 2014 scheduled minimum amortization payment under the indenture. As previously announced, Newland expects to consummate the sale of the Casino and certain related properties to Sun International later this month. This transaction will produce cash to Newland of US$45.5 million, which, in the Company's opinion, represents full value for these properties.

In addition, the proposed amendments will adjust certain technical and other terms that Newland and the steering committee agree will facilitate the company's ability to meet its financial and marketing targets. The formal consent solicitation process was announced today and, given that Newland has already obtained majority support from the steering committee, it is expected that the requisite consents will be processed and obtained through the custodial system before 5:00 p.m. Eastern time on Friday, October 11, 2013. The proposed amendments will be effective shortly thereafter. A notice regarding the proposed amendments will be provided to all Note holders in accordance with the indenture.

The proposed amendments will enable Newland to remain on a sound financial footing as well as to maximize the value of Newland's inventory and Newland appreciates the good relations it continues to have with the steering committee representing a majority of its Note holders.

This release does not constitute an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States by Newland International Properties, Corp. will be made by means of a valid registration statement on file with U.S. Securities and Exchange Commission and a prospectus that may be obtained from Newland International Properties, Corp. and that will contain detailed information relating to Newland International Properties, Corp. Any offers and sales of securities by Newland International Properties, Corp. will be made pursuant to such registration statement and prospectus. This press release is being issued pursuant to Rule 135e under the U.S. Securities Act of 1933, as amended.

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