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Mercer International Inc. Announces Proposed Add-On Offering of $200 Million of Senior Notes Due 2028 in Private Offering and Redemption of 5.500% Senior Notes Due 2026
NEW YORK, Oct. 21, 2024 (GLOBE NEWSWIRE) -- Mercer International Inc. (Nasdaq: MERC) (the "Company") today announced that it intends to offer for sale (the
About this update from Mercer International Inc.
[{"type":"text","content":"NEW YORK, Oct. 21, 2024 (GLOBE NEWSWIRE) -- Mercer International Inc. (Nasdaq: MERC) (the \"Company\") today announced that it intends to offer for sale (the \"Offering\") $200 million in aggregate principal amount of its senior notes due October 1, 2028 (the \"Additional Notes\"). The Additional Notes will be issued as additional notes under an existing indenture dated September 21, 2023, pursuant to which the Company previously issued $200.0 million aggregate principal of 12.875% senior notes due 2028 (the \"Existing Notes\"). The Company intends to use the net proceeds of the Offering, along with cash on hand, to redeem $300 million in principal amount of its currently outstanding 5.500% senior notes due 2026 (the \"2026 Senior Notes\"). In connection with the proposed redemption of the 2026 Senior Notes, the Company has issued a conditional notice to redeem all of the 2026 Senior Notes, at $1,000.00 per $1,000.00 of principal amount redeemed, plus accrued and unpaid interest to, but not including, the redemption date. The redemption date is November 1, 2024 and redemption is conditioned upon completion of the Offering and the Company's deposit with the paying agent of sufficient funds to pay the redemption price. This press release is not a notice of redemption. Other than with respect to the date of issuance and the offering price, the Additional Notes will have the same terms as the Existing Notes. The Additional Notes offered and sold in reliance on Rule 144A will be issued and maintained under the same CUSIP as the Existing Notes. Any Additional Notes offered and sold in offshore transactions in reliance on Regulation S will be issued and maintained under a separate CUSIP number during a 40-day distribution compliance period commencing on the issue date of the Additional Notes. Following the completion of the 40-day distribution compliance period, such Additional Notes will be maintained under the same CUSIP as the Existing Notes. The Additional Notes will be offered and sold to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the \"Securities Act\"), and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act. The Additional Notes have not been registered under the Securities Act, or any state securities laws, and unless so r...