US Concrete Inc has announced that it proposes o offer US$350 million aggregate amount of senior notes due 2024, subject to market conditions and other factors, to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1993, as amended, and to certain non-US persons pursuant to Regulation S under the Securities Act.
The Notes will be guaranteed on a senior unsecured basis by the Company’s existing and future restricted subsidiaries that guarantee obligations under its senior secured asset-based revolving credit facility, or that guarantee certain of its other indebtedness or certain indebtedness of its restricted subsidiaries. The interest rate, offering price and other terms will be determined at the time of pricing of the offering.
The Company intends to use the net proceeds from this offering in order to repay all of the outstanding borrowings under the Revolving Facility, to redeem or otherwise retire all of its outstanding 8.50% Senior Secured Notes due 2018 and for general corporate purposes, including funding the purchase price of future acquisitions to expand its current business.
The Company has sent an irrevocable conditional notice of redemption to the trustee for its outstanding 2018 Notes. The redemption is subject to certain conditions, including the consummation of this offering or another financing that provides net proceeds sufficient to redeem the 2018 Notes in full. If the conditions are not satisfied, then the notice of redemption will be rescinded.
The Notes will not be registered under the Securities Act or any state securities laws and may not be offered or sold in the United States absent registration under the Securities Act or an applicable exemption from the registration requirements of the Securities Act.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Adapted from press release by Rebecca Bowden
Read the article online at: https://www.worldcement.com/the-americas/19052016/us-concrete-to-offer-senior-notes-124/