Post Holdings Announces Commencement of Senior Notes Offering

Rhea-AI Summary

Post Holdings, Inc. (NYSE:POST) announced plans for a private offering of $350 million in 5.50% senior notes due 2029, adding to previously issued notes of $750 million. The Notes will be unsecured and guaranteed by existing domestic subsidiaries. Proceeds are intended for general corporate purposes, including share repurchases, acquisitions, debt repayment, and working capital. The offering is exempt from registration under the Securities Act, targeting institutional buyers. Forward-looking statements warn of risks that could impact the offering’s execution.

Positive

• Successful prior issuance of $750 million in senior notes strengthens funding capability.
• Proceeds will be used for share repurchases, which may enhance shareholder value.

Negative

• Offering of senior notes could increase the company's debt burden.
• Forward-looking statements indicate risks and uncertainties that may affect the successful execution of the offering.

ST. LOUIS, Dec. 13, 2021 (GLOBE NEWSWIRE) -- Post Holdings, Inc. (NYSE:POST) (the “Company” or “Post”) today announced that it intends to commence a private offering to eligible purchasers, subject to market and other conditions, of $350.0 million in aggregate principal amount of the Company’s 5.50% senior notes due 2029 (the “Notes”).

The Notes are being offered as additional notes under an existing indenture pursuant to which the Company previously issued $750.0 million in aggregate principal amount of the Company’s 5.50% senior notes due 2029 (the “Existing Notes”). The Notes to be issued in this offering will vote together with, and will constitute part of the same series as, the Existing Notes. The Notes will be unsecured, senior unsubordinated obligations of the Company and will be guaranteed by the Company’s existing and subsequently acquired or organized domestic subsidiaries (other than immaterial subsidiaries, certain excluded subsidiaries and subsidiaries designated as unrestricted subsidiaries).

The Company intends to use the net proceeds from the proposed offering for general corporate purposes, which could include, among other things, share repurchases, financing acquisitions, retiring existing debt, capital expenditures and working capital. The final amounts of the Notes are subject to market and other conditions, and may be materially different than expectations.

The Notes and the related subsidiary guarantees are being offered to persons reasonably believed to be qualified institutional buyers in an offering exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to non-U.S. persons outside of the United States in compliance with Regulation S under the Securities Act. The Notes and the related subsidiary guarantees have not been registered under the Securities Act, or any state securities laws, and unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

This press release is not an offer to sell or a solicitation of an offer to buy any security, nor shall there be any sales of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any jurisdiction. This press release is being issued pursuant to and in accordance with Rule 135c under the Securities Act.

Cautionary Statement on Forward-Looking Language

Forward-looking statements, within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, are made throughout this press release. These forward-looking statements are sometimes identified from the use of forward-looking words such as “believe,” “should,” “could,” “potential,” “continue,” “expect,” “project,” “estimate,” “predict,” “anticipate,” “aim,” “intend,” “plan,” “forecast,” “target,” “is likely,” “will,” “can,” “may” or “would” or the negative of these terms or similar expressions elsewhere in this release. All forward-looking statements are subject to a number of important factors, risks, uncertainties and assumptions that could cause actual results to differ materially from those described in any forward-looking statements. These factors and risks include, but are not limited to, unanticipated developments that prevent, delay or negatively impact the offering, the rapidly changing situation related to the COVID-19 pandemic and other financial, operational and legal risks and uncertainties detailed from time to time in the Company’s cautionary statements contained in its filings with the Securities and Exchange Commission. These forward-looking statements represent the Company’s judgment as of the date of this press release. The Company disclaims, however, any intent or obligation to update these forward-looking statements. There can be no assurance that the proposed offering will be completed as anticipated or at all.

About Post Holdings, Inc.

Post Holdings, Inc., headquartered in St. Louis, Missouri, is a consumer packaged goods holding company operating in the center-of-the-store, refrigerated, foodservice, food ingredient and convenient nutrition food categories.

Contact:
Investor Relations
Jennifer Meyer
jennifer.meyer@postholdings.com
(314) 644-7665

FAQ

What is Post Holdings planning to do with the $350 million offering?

Post Holdings intends to use the proceeds for general corporate purposes, including share repurchases, acquisitions, and debt repayment.

How much did Post Holdings previously issue in senior notes?

Post Holdings previously issued $750 million in senior notes, which the new offering will supplement.

Who will the senior notes be offered to?

The senior notes will be offered to eligible purchasers, primarily institutional buyers, under an exemption from registration.

What are the terms of the senior notes being offered?

The new senior notes will have a 5.50% interest rate and are due in 2029.

What risks does Post Holdings disclose regarding the offering?

Post Holdings acknowledges potential risks including market conditions and factors that may prevent or delay the offering.