CIT Group amends its debt buyback offer

Small business lender CIT Group cit said Friday that it's amending the terms of a tender offer for its debt but warns it may have to seek bankruptcy protection if enough bondholders don't agree to the terms.

The New York-based financial company said in a regulatory filing that if the offer is successful it won't file for bankruptcy and will pursue a restructuring.

The Wall Street Journal reported before the filing that CIT had rebuffed as too low an offer from two conglomerates to buy parts of the company but is now considering a similar breakup. The newspaper cites unidentified people familiar with the matter.

Under CIT's amended debt exchange offer disclosed Friday, holders of certain notes due in August will get an extra $50 per $1,000 principal of the notes if they tender them by July 31 for a total of $825 per $1,000 in principal.

CIT Group, one of the largest lenders in the U.S. to small and midsize businesses, has been scrambling in recent weeks to find new funding as it wrestles with liquidity pressure and maturing debt.

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