ST. LOUIS - Post Holdings , Inc. (NYSE:POST), a consumer packaged goods holding company, announced today its intention to offer $875M in senior secured notes due in 2032 to eligible purchasers, subject to market conditions. The notes will be secured by guarantees from the company's domestic subsidiaries, excluding certain non-material subsidiaries.
The company aims to use the proceeds, along with available cash, to repay its $400M incremental term loan, redeem its 5.75% senior notes due 2027, and cover associated costs. Any remaining funds may be used for general corporate purposes such as debt repayment, acquisitions, share repurchases, and capital expenditures.
The offering is not contingent on the redemption of the 5.75% senior notes, expected on March 1, 2024. The notes and guarantees are offered to qualified institutional buyers and non-U.S. persons in accordance with securities regulations.
The final terms of the notes are subject to change based on market conditions, and the notes have not been registered under U.S. securities laws, thus limiting their sale within the United States to certain exemptions.
This announcement follows the company's forward-looking statements policy, highlighting potential risks and uncertainties that could affect the offering's outcome. Post Holdings emphasizes that there is no assurance the offering will be completed as planned.
This news is based on a press release statement and does not constitute a sales offer or solicitation in any jurisdiction where such actions would be unlawful.
InvestingPro Insights
In light of Post Holdings, Inc.'s strategic financial maneuvers, current data from InvestingPro offers additional context for investors considering the company's recent activities. With a robust market capitalization of $6.13B and a positive revenue growth of 21.56% over the last twelve months as of Q1 2024, Post Holdings demonstrates a strong performance in its sector. Notably, the company's share price is trading near its 52-week high, reflecting investor confidence and a strong return over the last three months, with a price total return of 20.01%.
InvestingPro Tips indicate that management's aggressive share buybacks and six analysts revising their earnings upwards for the upcoming period may signal a bullish outlook for the company. Additionally, Post Holdings has been profitable over the last twelve months, and analysts predict profitability this year as well, which could be a positive sign for potential investors. It's worth noting that the company does not pay a dividend, directing its capital towards growth and operational initiatives instead.
For those seeking a deeper dive into Post Holdings' financial health, the InvestingPro platform offers a wealth of additional tips. A subscription to InvestingPro is currently on a special New Year sale with a discount of up to 50%. Use coupon code "SFY24" to get an additional 10% off a 2-year InvestingPro+ subscription, or "SFY241" to get an additional 10% off a 1-year subscription, and unlock the full suite of insights that could further inform your investment decisions.
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