SPB - Spectrum Brands Unveils Offering & Share Repurchase Plan | Benzinga
Spectrum Brands Holdings Inc. (NYSE: SPB) is benefiting from increased pricing, cost improvements and a favorable mix. The company is progressing well with its Global Productivity Improvement Plan, which aims at improving operating efficiency and effectiveness.
In the latest developments, the company unveiled that its fully-owned subsidiary, Spectrum Brands, Inc., offered $300 million in total principal amount of its 3.375% exchangeable senior notes due 2029 in a private placement to eligible purchasers under Rule 144A of the Securities Act of 1933, as amended (the "Securities Act").
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The company plans to utilize the net proceeds from the offering to fund the $21.6 million cost of entering into the capped call transactions, general corporate purposes and to repurchase about $50 million of shares of common stock of Parent concurrent with the pricing of the offering of the Exchangeable Notes in privately negotiated transactions. Such transactions are effected through one of the initial purchasers or its affiliates.
Concerning the offering, if the initial purchasers sell more Exchangeable Notes than the overall principal amount of the Exchangeable Notes, they have the option to purchase, for settlement within a 13-day period starting and including the date the Exchangeable Notes are first issued, up ...