Ryan Specialty, LLC Upsizes and Prices $600 Million of Senior Secured Notes
Ryan Specialty, , a subsidiary of Ryan Specialty Holdings, Inc. (NYSE: RYAN), has successfully priced an offering of $600 million in 5.875% Senior Secured Notes due 2032. This represents a $100 million increase from the initially announced offering size. The notes, priced at 100% of par, are expected to be completed on September 19, 2024. They will be guaranteed on a senior secured basis by the Company's wholly owned subsidiaries and secured by substantially all assets securing existing notes and credit facilities. The net proceeds will be used to repay a portion of the Revolving Credit Facility borrowings used for the acquisition of US Assure Insurance Services of Florida, Inc., and to cover related fees and expenses.
Ryan Specialty, una sussidiaria di Ryan Specialty Holdings, Inc. (NYSE: RYAN), ha recentemente stabilito il prezzo di un'offerta di 600 milioni di dollari in Note Senior Secured al 5.875% con scadenza nel 2032. Questo rappresenta un aumento di 100 milioni di dollari rispetto alla dimensione inizialmente annunciata dell'offerta. Le note, il cui prezzo è fissato al 100% del valore nominale, dovrebbero essere completate il 19 settembre 2024. Saranno garantite su base senior secured dalle sussidiarie interamente controllate dell'azienda e garantite da sostanzialmente tutti gli asset a garanzia delle note e delle linee di credito esistenti. I proventi netti saranno utilizzati per rimborsare una parte delle somme prelevate dalla linea di credito revolving utilizzate per l'acquisizione di US Assure Insurance Services of Florida, Inc., e per coprire le spese e i costi correlati.
Ryan Specialty, una subsidiaria de Ryan Specialty Holdings, Inc. (NYSE: RYAN), ha establecido con éxito el precio de una oferta de 600 millones de dólares en Notas Senior Garantizadas al 5.875% con vencimiento en 2032. Esto representa un incremento de 100 millones de dólares respecto al tamaño de oferta inicialmente anunciado. Las notas, cuyo precio se fijó en el 100% del valor nominal, se espera que se completen el 19 de septiembre de 2024. Estarán garantizadas sobre una base senior garantizada por las subsidiarias de propiedad total de la empresa y estarán aseguradas por prácticamente todos los activos que garantizan las notas existentes y las líneas de crédito. Los ingresos netos se utilizarán para reembolsar una parte de los préstamos del Crédito Revolvente utilizados para la adquisición de US Assure Insurance Services of Florida, Inc., y para cubrir los gastos y tarifas relacionados.
라이언 스페셜티(Ryan Specialty)는 라이언 스페셜티 홀딩스(Ryan Specialty Holdings, Inc.)의 자회사로, (NYSE: RYAN) 5.875%의 2032년 만기 담보 선순위 채권에 대한 6억 달러의 공모를 성공적으로 가격 책정했습니다. 이는 최초 발표된 공모 금액에서 1억 달러의 증가를 나타냅니다. 채권은 액면가의 100%에 가격이 책정되며, 2024년 9월 19일에 완료될 것으로 예상됩니다. 이 채권은 회사의 전액 출자 자회사에 의해 선순위 담보 기준으로 보증되며, 기존 채권 및 신용시설에 담보된 거의 모든 자산으로 담보됩니다. 순수익은 플로리다주 US Assure Insurance Services, Inc. 인수를 위해 사용된 회전 신용 대출의 일부를 상환하고 관련 수수료 및 비용을 충당하는 데 사용될 것입니다.
Ryan Specialty, une filiale de Ryan Specialty Holdings, Inc. (NYSE: RYAN), a réussi à fixer le prix d'une émission de 600 millions de dollars en Obligations Senior Sécurisées à 5.875% arrivant à échéance en 2032. Cela représente une augmentation de 100 millions de dollars par rapport à la taille initialement annoncée de l'émission. Les obligations, dont le prix est fixé à 100% de la valeur nominale, devraient être finalisées le 19 septembre 2024. Elles seront garanties sur une base senior sécurisée par les filiales entièrement détenues de l'entreprise et seront garanties par pratiquement tous les actifs garantissant les obligations et les lignes de crédit existantes. Le produit net sera utilisé pour rembourser une partie des emprunts de la ligne de crédit renouvelable utilisée pour l'acquisition de US Assure Insurance Services of Florida, Inc., et pour couvrir les frais et dépenses associés.
Ryan Specialty, eine Tochtergesellschaft von Ryan Specialty Holdings, Inc. (NYSE: RYAN), hat erfolgreich eine Angebot in Höhe von 600 Millionen Dollar an 5.875% Senior Secured Notes mit Fälligkeit im Jahr 2032 bepreist. Dies stellt eine Erhöhung um 100 Millionen Dollar im Vergleich zur ursprünglich angekündigten Angebotshöhe dar. Die Notes, die zu 100% des Nennwertes bepreist wurden, sollen voraussichtlich am 19. September 2024 abgeschlossen werden. Sie werden auf senior secured Basis von den vollumfänglich im Besitz des Unternehmens befindlichen Tochtergesellschaften garantiert und durch nahezu alle Vermögenswerte abgesichert, die bestehende Notes und Kreditfazilitäten absichern. Der Nettoerlös wird verwendet, um einen Teil der Kredite aus der revolvierenden Kreditfazilität zurückzuzahlen, die für die Akquisition von US Assure Insurance Services of Florida, Inc. verwendet wurden, sowie um damit verbundene Gebühren und Kosten zu decken.
- Successful upsizing of the notes offering by $100 million to $600 million, indicating strong investor demand
- Proceeds will be used to repay a portion of the Revolving Credit Facility, potentially improving the company's debt structure
- The notes are secured on a first-lien basis, potentially offering better terms for the company
- Increase in long-term debt with the $600 million notes offering
- Additional interest expenses from the 5.875% coupon rate on the new notes
Insights
Ryan Specialty's upsized
The use of proceeds to repay the Revolving Credit Facility demonstrates prudent financial management, potentially reducing interest expenses and improving the balance sheet. This refinancing, coupled with the recent acquisition of US Assure Insurance Services, indicates a strategic growth initiative that could enhance Ryan Specialty's market position in the specialty insurance sector.
The private offering structure under Rule 144A and Regulation S is a standard approach for expedited capital raising without the need for SEC registration. This method allows Ryan Specialty to access institutional investors efficiently while maintaining flexibility.
The first-lien security on substantially all assets aligns with existing debt, suggesting a uniform security structure. This could simplify future refinancing or additional borrowing. However, investors should note that Ryan Specialty Holdings, Inc. is not guaranteeing these notes, which could impact recovery in a default scenario.
The successful upsizing of the note offering by
The company's ability to secure long-term financing amidst its acquisition activities demonstrates investor confidence in its expansion plans. This could potentially translate to improved market positioning and enhanced shareholder value in the long run, particularly if synergies from the US Assure acquisition materialize as expected.
The Notes will be jointly and severally, unconditionally guaranteed on a senior secured basis by each of the Company’s existing and future wholly owned subsidiaries that guarantee its obligations under its credit agreement. The Notes will not be guaranteed by Ryan Specialty. Subject to certain exceptions, the Notes will be secured on a first-lien basis by substantially all of the assets that secure the Company’s existing notes and its senior secured term loan and senior secured revolving credit facility (the “Revolving Credit Facility”). The Company will use the net proceeds from this offering to repay a portion of the borrowings under the Revolving Credit Facility that were used, together with cash on hand, to fund the acquisition of US Assure Insurance Services of
The Notes are being offered to persons reasonably believed to be qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to non-
The Notes have not been and will not be registered under the Securities Act or any state or other jurisdiction’s securities laws. Accordingly, the Notes may not be offered or sold in
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities nor shall there be any sale of any securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
About Ryan Specialty
Founded in 2010, Ryan Specialty (NYSE: RYAN) is a service provider of specialty products and solutions for insurance brokers, agents, and carriers. Ryan Specialty provides distribution, underwriting, product development, administration, and risk management services by acting as a wholesale broker and a managing underwriter with delegated authority from insurance carriers. Our mission is to provide industry-leading innovative specialty insurance solutions for insurance brokers, agents, and carriers.
Forward Looking Statements
All statements in this release that are not historical are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and involve substantial risks and uncertainties. For example, all statements made reflecting Ryan Specialty's current intentions, expectations or beliefs regarding the proposed notes offering, including the use of proceeds of the notes offering, are forward-looking statements. Words such as “anticipate,” “estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “may,” “will,” “should,” “can have,” “likely” and variations of such words and similar expressions are intended to identify such forward-looking statements. All forward-looking statements are subject to risks and uncertainties, known and unknown, that may cause actual results to differ materially from those that Ryan Specialty expected. Specific factors that could cause such a difference include, but are not limited to, those disclosed previously in Ryan Specialty’s filings with the Securities and Exchange Commission.
Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Given these factors, as well as other variables that may affect Ryan Specialty’s operating results, you are cautioned not to place undue reliance on these forward-looking statements, not to assume that past financial performance will be a reliable indicator of future performance, and not to use historical trends to anticipate results or trends in future periods. The forward-looking statements included in this press release relate only to events as of the date hereof. Ryan Specialty does not undertake, and expressly disclaims, any duty or obligation to update publicly any forward-looking statement after the date of this release, whether as a result of new information, future events, changes in assumptions, or otherwise.
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Investor Relations
Nicholas Mezick
Director, Investor Relations
Ryan Specialty
ir@ryanspecialty.com
(312) 784-6152
Media Relations
Alice Phillips Topping
Chief Marketing & Communications Officer
Ryan Specialty
Alice.Topping@ryanspecialty.com
(312) 635-5976
Source: Ryan Specialty Holdings, Inc.
FAQ
What is the size and interest rate of Ryan Specialty's new notes offering?
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Are the new notes offered by Ryan Specialty (RYAN) secured?
