ST. LOUIS, Aug. 17, 2017 /PRNewswire/ -- Peabody Energy
Corporation ("Peabody") (NYSE: BTU) announced today that
certain of its existing stockholders affiliated with
Discovery Capital Management, LLC (the "selling stockholders")
intend to offer 12,800,000 shares of Peabody's common stock in an
underwritten secondary offering, of which Peabody intends to
repurchase from the underwriter a number of shares having an
aggregate value of approximately $40
million.
The selling stockholders will receive all of the net proceeds
from the offering. Peabody is not offering any shares of common
stock in the offering and will not receive any proceeds from the
sale of shares in the offering. In addition, none of Peabody's
officers or directors are selling any shares of common stock
beneficially owned by them in the offering. The shares of common
stock being offered were previously issued by Peabody in connection
with its emergence from Chapter 11 on April
3, 2017 and subsequent conversions of preferred stock.
Peabody's per-share purchase price for the repurchased shares
would be the same as the per-share purchase price payable by the
underwriter to the selling stockholders. Peabody expects to fund
the share repurchase with cash on hand. The share repurchase is
subject to completion of the offering. The share repurchase
would be made pursuant to, and would count toward, Peabody's
existing share repurchase program.
Credit Suisse is acting as the sole underwriter of the offering.
The offering is being made pursuant to an effective registration
statement on Form S-1, as amended. The offering is being made only
by means of a prospectus and related prospectus supplement, copies
of which may be obtained on the website of the Securities and
Exchange Commission, www.sec.gov, or, when available, from
Credit Suisse, Credit Suisse Securities (USA) LLC, Attention: Prospectus Department,
One Madison Avenue, New York, New
York, 10010, or by email at
newyork.prospectus@credit-suisse.com, or by telephone at +1
(800) 221-1037.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of the
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 state or
jurisdiction.
Peabody is the world's largest private-sector coal
company. Peabody serves metallurgical and thermal coal
customers in more than 25 countries on five continents.
Investor Contact:
Julie Gates
314.342.4336
Certain statements included in this release are
forward-looking as defined in the Private Securities Litigation
Reform Act of 1995. The Company uses words such as "anticipate,"
"believe," "expect," "may," "forecast," "project," "should,"
"estimate," "plan," "outlook," "target," "likely," "will," "to be"
or other similar words to identify forward-looking statements.
These forward-looking statements are made as of the date the
release was filed and are based on numerous assumptions that the
Company believes are reasonable, but these assumptions are open to
a wide range of uncertainties and business risks that may cause
actual results to differ materially from expectations. These
factors are difficult to accurately predict and may be beyond the
Company's control. Such factors include, but are not limited to
those described in the Company's most recently filed Annual Report
on Form 10-K for the year ended December 31,
2016 filed with the SEC on March 22,
2017, as amended on July 10,
2017 and August 14,
2017, and in Exhibit 99.2 of the Company's Current
Report on Form 8-K filed on April 11,
2017, as well as other filings the Company may make from
time to time with the SEC. Factors that could affect the
Company's results or an investment in its securities include but
are not limited to: competition in the energy market and supply and
demand for the Company's products, including the impact of
alternative energy sources, such as natural gas and renewables;
global steel demand and its downstream impact on metallurgical coal
prices, and lower demand for the Company's products by electric
power generators; customer procurement practices and contract
duration; the impact of weather and natural disasters on demand,
production and transportation; reductions and/or deferrals of
purchases by major customers and the Company's ability to renew
sales contracts; credit and performance risks associated with
customers, suppliers, contract miners, co-shippers, and trading,
bank and other financial counterparties; geologic, equipment,
permitting, site access, operational risks and new technologies
related to mining; transportation availability, performance and
costs; availability, timing of delivery and costs of key supplies,
capital equipment or commodities such as diesel fuel, steel,
explosives and tires; impact of take-or-pay arrangements for rail
and port commitments for the delivery of coal; successful
implementation of business strategies, including, without
limitation, the actions we are implementing to improve the
Company's organization and respond to current conditions;
negotiation of labor contracts, employee relations and workforce
availability, including, without limitation, attracting and
retaining key personnel; changes in postretirement benefit and
pension obligations and their related funding requirements;
replacement and development of coal reserves; uncertainties in
estimating the Company's coal reserves; effects of changes in
interest rates and currency exchange rates (primarily the
Australian dollar); the Company's ability to successfully
consummate acquisitions or divestitures, and the resulting effects
thereof; economic strength and political stability of countries in
which we have operations or serve customers; legislation,
regulations and court decisions or other government actions,
including, but not limited to, new environmental and mine safety
requirements, changes in income tax regulations, sales-related
royalties, or other regulatory taxes and changes in derivative laws
and regulations; the Company's ability to obtain and renew permits
necessary for the Company's operations; the Company's ability to
appropriately secure the Company's requirements for reclamation,
federal and state workers' compensation, federal coal leases and
other obligations related to the Company's operations, including
the Company's ability to utilize self-bonding and/or successfully
access the commercial surety bond market; litigation or other
dispute resolution, including, but not limited to, claims not yet
asserted; terrorist attacks or security threats, including, but not
limited to, cybersecurity breaches; impacts of pandemic illnesses;
any lack of an established market for certain of the Company's
securities, including the Company's preferred stock, and potential
dilution of the Company's common stock; price volatility in the
Company's securities; short-sales in the Company's securities; any
conflicts of interest between the Company's significant
shareholders and other holders of the Company's capital stock; the
Company's ability to generate sufficient cash to service all of the
Company's indebtedness; the Company's debt instruments and capital
structure placing certain limits on the Company's ability to pay
dividends and repurchase capital stock; the Company's ability to
comply with financial and other restrictive covenants in various
agreements, including the Company's debt instruments; and other
risks detailed in the Company's reports filed with the SEC. The
Company does not undertake to update its forward-looking statements
except as required by law.
View original content with
multimedia:http://www.prnewswire.com/news-releases/peabody-announces-launch-of-secondary-offering-by-certain-selling-stockholders-repurchase-of-common-stock-300506293.html
SOURCE Peabody