CIT has averted bankruptcy by succeeding to get just above the requisite minimum of acceptances for its tender offer. The Offer expired at 12:00 midnight, New York City time, at the end of August 14, 2009. CIT is paying $875 for every $1,000 tendered as part of the offer. From the press release:
As of the expiration date, 59.81% of the total Notes outstanding were validly tendered and not withdrawn, an amount in excess of the minimum condition. In accordance with the terms and conditions of the Offer, CIT will accept tendered Notes for payment on August 17, 2009, the settlement date, at a purchase price of $875 per $1,000 principal amount of Notes. CIT will pay amounts due on Notes that have matured but were neither tendered in, nor subject to the Offer in accordance with the terms of those Notes.
Keep in mind the absolute minimum acceptance rate was 58%. One can only imagine the last minute negotiations.
Now that CIT is a well-capitalized, self-sustaining company once again, it can proceed to going back to what it does best, which is lend third liens to 8x leveraged small businesses in the hopes of collecting juicy 20% downside IRRs.