United Rentals Announces Partial Redemption of 7.625% Senior Notes due 2022
October 24 2016 - 5:06PM
Business Wire
United Rentals, Inc. (NYSE:URI) today announced that its
subsidiary, United Rentals (North America), Inc. (“URNA”), has
given notice of its intention to redeem $850 million of the
outstanding $1.325 billion principal amount of its 7.625% Senior
Notes due 2022 (CUSIP Number 911365AZ7) (the “Notes”) on November
23, 2016 (the “Redemption Date”). The Notes to be redeemed will be
selected by the Depositary for redemption in accordance with the
Depositary’s applicable procedures. The Notes will be redeemed at a
redemption price currently estimated to be 106.418% of the
principal amount of the Notes, plus accrued and unpaid interest to,
but excluding, the Redemption Date.
URNA has instructed Wells Fargo Bank, National Association, as
the trustee for the Notes, to distribute a Notice of Redemption to
all registered holders of the Notes on October 24, 2016. Copies of
such Notice of Redemption and additional information relating to
the procedure for redemption of the Notes may be obtained from
Wells Fargo Bank, National Association by calling
1-800-344-5128.
URNA expects to use the net proceeds from its offering of 5.50%
Senior Notes due 2027, which is expected to close November 7, 2016,
and additional borrowings of $166 million under its senior secured
asset-based revolving credit facility to redeem the Notes and to
pay related expenses.
The redemption is subject to, and conditioned upon, (i) the
completion by URNA of its offering of 5.50% Senior Notes due 2027
no later than the Redemption Date and (ii) sufficient funds being
available to be drawn by URNA under its senior secured asset-based
revolving credit facility at the time URNA is required to deposit
the redemption price with the trustee for the Notes to fund the
redemption, and such funds being disbursed when requested by URNA.
The Redemption Date may be delayed until such time as the
conditions precedent shall be satisfied. In the event that such
conditions precedent have not been so satisfied by the Redemption
Date, or by the Redemption Date as so delayed, the notice of
redemption will be rescinded upon notice to the trustee and will be
of no force or effect for any purpose.
This announcement does not constitute an offer to sell or a
solicitation of an offer to buy, nor shall there be any sale of any
of the 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 such
jurisdiction.
About United Rentals
United Rentals, Inc. is the largest equipment rental company in
the world. The company has an integrated network of 890 rental
locations in 49 states and every Canadian province. The company’s
approximately 12,500 employees serve construction and industrial
customers, utilities, municipalities, homeowners and others. The
company offers approximately 3,200 classes of equipment for rent
with a total original cost of $9.17 billion. United Rentals, Inc.
is a member of the Standard & Poor’s 500 Index, the Barron’s
400 Index and the Russell 3000 Index® and is headquartered in
Stamford, Conn. Additional information about United Rentals, Inc.
is available at UnitedRentals.com.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 21E of the Securities Exchange Act of 1934,
as amended, and the Private Securities Litigation Reform Act of
1995, known as the PSLRA. These statements can generally be
identified by the use of forward-looking terminology such as
“believe,” “expect,” “may,” “will,” “should,” “seek,” “on-track,”
“plan,” “project,” “forecast,” “intend” or “anticipate,” or the
negative thereof or comparable terminology, or by discussions of
vision, strategy or outlook. These statements are based on current
plans, estimates and projections, and, therefore, you should not
place undue reliance on them. No forward-looking statement can be
guaranteed, and actual results may differ materially from those
projected. Factors that could affect actual results include but are
not limited to corporate developments that could preclude, impair
or delay the above-described transactions due to restrictions under
the federal securities laws and changes in general market,
economic, tax, regulatory or industry conditions that impact our
ability or willingness to consummate the above-described
transactions on the terms described above or at all. For a more
complete description of these and other possible risks and
uncertainties, please refer to our Annual Report on Form 10-K for
the year ended December 31, 2015, as well as to our subsequent
filings with the SEC. The forward-looking statements contained
herein speak only as of the date hereof, and we make no commitment
to update or publicly release any revisions to forward-looking
statements in order to reflect new information or subsequent
events, circumstances or changes in expectations.
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version on businesswire.com: http://www.businesswire.com/news/home/20161024006530/en/
United Rentals, Inc.Ted Grace, 203-618-7122Cell:
203-399-8952tgrace@ur.com
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