Calumet Announces $65 Million At-the-Market Equity Offering Program
Calumet (NASDAQ: CLMT) has announced the establishment of an at-the-market equity offering program (ATM Program) through which it may sell up to $65 million worth of common stock shares. The offering will be conducted through BMO Capital Markets Corp. as the Sales Agent, with shares being sold at prevailing market prices on the Nasdaq Global Select Market or other national securities exchanges.
The company plans to use the net proceeds for general corporate purposes, including debt repayment, working capital, and capital expenditures. The offering is being made under a prospectus supplement dated January 14, 2025, with no minimum fundraising requirement. Sales will be conducted as 'at the market offerings' under Rule 415, with the Sales Agent using commercially reasonable efforts to sell shares designated by Calumet.
Calumet (NASDAQ: CLMT) ha annunciato l'istituzione di un programma di offerta di equity at-the-market (ATM Program) attraverso il quale potrà vendere fino a 65 milioni di dollari di azioni ordinarie. L'offerta verrà effettuata tramite BMO Capital Markets Corp. in qualità di Agente di Vendita, con le azioni vendute ai prezzi di mercato prevalenti sul Nasdaq Global Select Market o su altre borse nazionali.
L'azienda prevede di utilizzare il ricavato netto per scopi aziendali generali, inclusi il rimborso del debito, il capitale circolante e le spese in conto capitale. L'offerta è effettuata sotto un prospetto supplementare datato 14 gennaio 2025, senza un requisito minimo di raccolta fondi. Le vendite saranno condotte come 'offerte at the market' secondo la Regola 415, con l'Agente di Vendita che utilizzerà sforzi commercialmente ragionevoli per vendere le azioni designate da Calumet.
Calumet (NASDAQ: CLMT) ha anunciado el establecimiento de un programa de oferta de capital at-the-market (ATM Program) a través del cual podrá vender hasta 65 millones de dólares en acciones ordinarias. La oferta será realizada a través de BMO Capital Markets Corp. como el Agente de Ventas, con las acciones siendo vendidas a los precios de mercado prevalecientes en el Nasdaq Global Select Market u otras bolsas de valores nacionales.
La empresa planea utilizar los ingresos netos para propósitos corporativos generales, incluyendo el reembolso de deudas, capital de trabajo y gastos de capital. La oferta se realiza bajo un suplemento de prospecto fechado el 14 de enero de 2025, sin requisito mínimo de recaudación de fondos. Las ventas se llevarán a cabo como 'ofertas at the market' bajo la Regla 415, con el Agente de Ventas utilizando esfuerzos comercialmente razonables para vender las acciones designadas por Calumet.
칼루멧 (NASDAQ: CLMT)은 증시에서 판매하는 주식 제공 프로그램(at-the-market equity offering program, ATM Program)을 통해 최대 6500만 달러의 보통주를 판매할 계획을 발표했습니다. 이번 공모는 BMO 캐피탈 마켓 코퍼레이션을 판매 에이전트로 하여, 나스닥 글로벌 셀렉트 마켓 또는 기타 국가 증권 거래소에서 현재 시장 가격으로 주식이 판매됩니다.
회사는 순수익을 일반 기업 용도로 사용하고자 하며, 여기에는 부채 상환, 운전 자본 및 자본적 지출이 포함됩니다. 이번 공모는 2025년 1월 14일자 보충 설명서를 기준으로 하며, 최소 모금 요구사항이 없습니다. 판매는 규정 415에 따라 '시장에서의 공모'로 진행되며, 판매 에이전트는 칼루멧이 지정한 주식을 판매하기 위해 상업적으로 합리적인 노력을 기울입니다.
Calumet (NASDAQ: CLMT) a annoncé l'établissement d'un programme d'offre d'actions sur le marché (ATM Program) par lequel elle peut vendre jusqu'à 65 millions de dollars d'actions ordinaires. L'offre sera réalisée par BMO Capital Markets Corp. en tant qu'agent de vente, les actions étant vendues aux prix de marché en vigueur sur le Nasdaq Global Select Market ou d'autres marchés de valeurs nationales.
L'entreprise prévoit d'utiliser le produit net à des fins d'entreprise générales, notamment pour le remboursement de dettes, le fonds de roulement et les investissements en capital. L'offre est faite sous un supplément de prospectus daté du 14 janvier 2025, sans exigence de minimum de collecte de fonds. Les ventes seront réalisées en tant qu' « offres sur le marché » en vertu de la règle 415, l'agent de vente s'efforçant raisonnablement de vendre les actions désignées par Calumet.
Calumet (NASDAQ: CLMT) hat die Einrichtung eines at-the-market Aktienangebotprogramms (ATM-Programm) bekannt gegeben, durch das bis zu 65 Millionen US-Dollar an Stammaktien verkauft werden können. Das Angebot wird über BMO Capital Markets Corp. als Verkaufsagenten abgewickelt, wobei die Aktien zu den aktuellen Marktpreisen an der Nasdaq Global Select Market oder anderen nationalen Wertpapierbörsen verkauft werden.
Das Unternehmen plant, die Nettomittel für allgemeine Unternehmenszwecke zu verwenden, einschließlich der Rückzahlung von Schulden, Betriebs- und Investitionskapital. Das Angebot erfolgt auf Grundlage eines Prospektnachtrags vom 14. Januar 2025, ohne Mindestanforderung für die Mittelbeschaffung. Die Verträge werden gemäß Regel 415 als 'at-the-market Angebote' durchgeführt, wobei der Verkaufsagent angemessene kommerzielle Anstrengungen unternimmt, um von Calumet bezeichnete Aktien zu verkaufen.
- Flexibility in raising capital through market-based pricing
- No minimum fundraising requirement provides operational flexibility
- Potential debt reduction through proceeds utilization
- Potential dilution of existing shareholders' equity
- $65 million offering may pressure stock price
- Variable pricing structure creates uncertainty in total shares to be issued
Insights
The announcement of a
The structure provides several advantages:
- Capital can be raised opportunistically when share prices are favorable
- Lower transaction costs compared to traditional equity offerings
- Minimal market impact due to gradual share distribution
The stated use of proceeds for general corporate purposes, including debt repayment and working capital, suggests a focus on balance sheet optimization. This could improve CLMT's financial flexibility and reduce interest expenses, particularly valuable in the current high-rate environment. However, investors should monitor the execution pace and pricing of shares sold through this program, as it represents potential dilution risk.
This ATM program implementation warrants careful consideration of market dynamics. BMO Capital Markets' involvement as the sales agent adds credibility to the offering, but the variable nature of "at-the-market" pricing introduces execution risk. The lack of a minimum fundraising requirement provides flexibility but also uncertainty about the ultimate capital raised.
Key strategic implications include:
- Enhanced financial optionality without immediate balance sheet impact
- Potential improvement in debt-to-equity ratios if proceeds are used for debt reduction
- Gradual market absorption of new shares, potentially minimizing price pressure
For current shareholders, while dilution is a concern, the controlled nature of ATM offerings typically results in better price execution compared to traditional follow-on offerings. The program's size relative to daily trading volume suggests manageable market impact if executed thoughtfully.
Pursuant to the ATM Program, Calumet may issue and sell, at its discretion, the Offered Shares to the public from time to time, at the market prices prevailing at the time of sale, at prices related to the prevailing market prices or at negotiated prices, in each case on or through the Nasdaq Global Select Market or any other national securities exchange where the Offered Shares may be traded, and, as a result, prices at which the Offered Shares are sold may vary among purchasers and during the period of any distribution.
Pursuant to the terms of the equity distribution agreement (the "Equity Distribution Agreement"), dated January 14, 2025, between Calumet and BMO Capital Markets Corp. (the "Sales Agent"), sales of the Offered Shares, if any, under the ATM Program will be made in sales deemed to be "at the market offerings" as defined in Rule 415 promulgated under the Securities Act of 1933, as amended. The Sales Agent may also sell the Offered Shares by any other method agreed in writing between Calumet and the Sales Agent and permitted by applicable law, including, without limitation, as block transactions. Subject to the terms and conditions of the Equity Distribution Agreement, the Sales Agent will use its commercially reasonable efforts, consistent with normal trading and sales practices and in accordance with applicable law and regulations, to sell on Calumet's behalf all of the Offered Shares designated by Calumet pursuant to a placement notice. There is no minimum amount of funds that must be raised under this offering.
The offering is being made pursuant to a prospectus supplement dated January 14, 2025 to the Company's base prospectus included in its registration statement on Form S-3 filed with the SEC on January 14, 2025. Before making an investment in the Offered Shares, potential investors should read the prospectus supplement and the accompanying base prospectus for more information about Calumet and the ATM Program. Copies of the prospectus supplement, the accompanying base prospectus and the Equity Distribution Agreement are available on the SEC's website at www.sec.gov. Potential investors can request copies of the prospectus supplement and the accompanying base prospectus from the Sales Agent by contacting: BMO Capital Markets Corp., Attn: Equity Syndicate Department, 151 W 42nd Street, 32nd Floor,
This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any of these securities, 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.
About Calumet
Calumet, Inc. (NASDAQ: CLMT) manufactures, formulates, and markets a diversified slate of specialty branded products and renewable fuels to customers across a broad range of consumer-facing and industrial markets. Calumet is headquartered in
Cautionary Statement Regarding Forward-Looking Statements
Certain statements and information in this press release may constitute "forward-looking statements." The words "will," "may," "intend," "believe," "expect," "outlook," "forecast," "anticipate," "estimate," "continue," "plan," "should," "could," "would," or other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature. The statements discussed in this press release that are not purely historical data are forward-looking statements, including, but not limited to, the statements regarding (i) the potential distribution of the Offered Shares pursuant to the ATM Program, (ii) the aggregate gross sales price of the Offered Shares which may be issued pursuant to the ATM Program and (iii) the expected use of net proceeds, if any, from the ATM Program. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us. While our management considers these assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. Accordingly, our actual results may differ materially from the future performance that we have expressed or forecast in our forward-looking statements. For additional information regarding known material risks, uncertainties and other factors that can affect future results, please see our filings with the SEC, including the risk factors and other cautionary statements in the latest Annual Report on Form 10-K of Calumet Specialty Products Partners, L.P. (the "Partnership") and other filings with the SEC by the Company and the Partnership. We undertake no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
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SOURCE Calumet, Inc.
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