Macquarie Infrastructure Corporation (the “Company” or “MIC”)
(NYSE:MIC) announced today the pricing of $350.0 million of
convertible senior notes due 2023. In addition, the Company has
granted the underwriters a 30-day option to purchase up to an
additional $52.5 million of convertible senior notes solely to
cover over allotments. The size of the offering was increased from
$325.0 million to $350.0 million. The offering is expected to close
on October 13, 2016, subject to customary closing conditions.
The convertible senior notes will be unsecured, unsubordinated
obligations of MIC, and interest will be payable semi-annually at a
rate of 2.0% per annum. The initial conversion rate of the
convertible notes is 8.9364 shares of common stock per $1,000
principal amount of the convertible notes (which is equivalent to
an initial conversion price of approximately $111.90 per share).
Upon conversion, MIC will pay or deliver, as the case may be, cash,
shares of common stock of MIC or a combination of cash and shares
of MIC common stock, at its election. Prior to July 1, 2023, the
notes will be convertible at the option of holders of the notes
only upon satisfaction of certain conditions and during certain
periods, and thereafter, the notes will be convertible at any time
until the close of business on the second scheduled trading day
immediately preceding the maturity date.
The Company expects to use the net proceeds from this offering
for general corporate purposes, including, but not limited to, the
closing of the proposed acquisition of the aviation facility at
Stewart Airport in New York; the expansion of the Company’s Bayonne
Energy Center by 130 megawatts; the closing of the proposed
acquisition of the 80 megawatt Utah Red Hills solar power facility;
the repayment of the outstanding balance on the Company’s senior
secured revolving credit facility, and, if the refinancing of the
existing senior secured credit agreement of the Company’s Atlantic
Aviation business is completed, the Company intends to use the net
proceeds of the offering, in part, to repay a portion of the drawn
revolving loan balance under the new Atlantic Aviation senior
secured credit agreement.
J.P. Morgan, Barclays, BBVA, Regions Securities LLC and Wells
Fargo Securities are acting as joint book-running managers for the
offering.
This press release is neither an offer to sell nor a
solicitation of an offer to buy the securities, nor shall there be
any sale of securities in any state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to the
qualification under the securities laws of any such state or
jurisdiction.
An automatically effective registration statement relating to
these securities was filed with the Securities and Exchange
Commission on April 5, 2016. The offering is being made only by
means of an effective registration statement, including a
prospectus supplement and accompanying prospectus, copies of which
may be obtained from J.P. Morgan, via Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, New York, 11717, or
by telephone at 1-866-803-9204 or by email at prospectus_eq_fi@jpmchase.com, from Barclays, c/o Broadridge Financial
Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or by
telephone at 1-888-603-5847 or by email at
barclaysprospectus@broadridge.com, from BBVA, 1345 Avenue of the
Americas, 44th Floor, New York, NY 10105 or by telephone at
1-212-728-1500 or from Wells Fargo Securities, Securities Equity
Syndicate Department, 375 Park Avenue, New York, New York 10152, or
by telephone at 1-800-326-5897 or by email at
cmclientsupport@wellsfargo.com.
About Macquarie Infrastructure Corporation
MIC owns, operates and invests in a diversified group of
infrastructure businesses providing basic services to customers in
the United States. Its businesses consist of a bulk liquid
terminals business, International-Matex Tank Terminals, an airport
services business, Atlantic Aviation, entities comprising an energy
services, production and distribution segment, MIC Hawaii, and
entities comprising a Contracted Power and Energy segment.
Forward-Looking Statements
This press release contains forward-looking statements. MIC may,
in some cases, use words such as "project", "believe",
"anticipate", "plan", "expect", "estimate", "intend", "should",
"would", "could", "potentially", or "may" or other words that
convey uncertainty of future events or outcomes to identify these
forward-looking statements. Forward-looking statements in this
release are subject to a number of risks and uncertainties, some of
which are beyond MIC's control including, among other things:
changes in general economic or business conditions; its ability to
service, comply with the terms of and refinance debt, successfully
integrate and manage acquired businesses, retain or replace
qualified employees, manage growth, make and finance future
acquisitions, and implement its strategy; risks associated with
development and investment in the power industry; its regulatory
environment establishing rate structures and monitoring quality of
service; demographic trends, the political environment, the
economy, tourism, construction and transportation costs, air
travel, environmental costs and risks; fuel and gas and other
commodity costs; its ability to recover increases in costs from
customers; cybersecurity risks; work interruptions or other labor
stoppages; reliance on sole or limited source suppliers, risks or
conflicts of interests involving its relationship with the
Macquarie Group and changes in U.S. federal tax law.
MIC's actual results, performance, prospects or opportunities
could differ materially from those expressed in or implied by the
forward-looking statements. Additional risks of which MIC is not
currently aware could also cause its actual results to differ. In
light of these risks, uncertainties and assumptions, you should not
place undue reliance on any forward-looking statements. The
forward-looking events discussed in this release may not occur.
These forward-looking statements are made as of the date of this
release. MIC undertakes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by
law.
"Macquarie Group" refers to the Macquarie Group of companies,
which comprises Macquarie Group Limited and its worldwide
subsidiaries and affiliates. Macquarie Infrastructure Corporation
is not an authorized deposit-taking institution for the purposes of
the Banking Act 1959 (Commonwealth of Australia) and its
obligations do not represent deposits or other liabilities of
Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not
guarantee or otherwise provide assurance in respect of the
obligations of Macquarie Infrastructure Corporation.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161007005178/en/
Macquarie Infrastructure CorporationInvestor enquiriesJay A.
Davis, 212-231-1825Investor RelationsorMike Hacke,
212-231-6483Investor RelationsorMedia enquiriesMelissa McNamara,
212-231-1667Corporate Communications
Macquarie Infrastructure (NYSE:MIC)
Historical Stock Chart
From Feb 2024 to Mar 2024
Macquarie Infrastructure (NYSE:MIC)
Historical Stock Chart
From Mar 2023 to Mar 2024