H&E Equipment Services, Inc. Announces Pricing of Add-On Senior Notes Offering
November 20 2017 - 4:48PM
Business Wire
H&E Equipment Services, Inc. (NASDAQ: HEES) (the
“Company” or “H&E”) today announced the pricing of $200 million
in aggregate principal amount of its 5.625% senior notes due 2025
(the “New Notes”) in a private placement (the “Offering”). The New
Notes were priced at 104.25% of the principal amount. The New Notes
will be senior unsecured obligations of the Company and will be
guaranteed by the Company’s current and future significant domestic
restricted subsidiaries. The Offering is expected to close on
November 22, 2017, subject to the satisfaction of customary closing
conditions.
The New Notes will be issued as additional notes under an
indenture dated as of August 24, 2017 pursuant to which the Company
previously issued $750 million in aggregate principal amount of its
5.625% senior notes due 2025 (the “Existing Notes”). The New Notes
will have identical terms to the Existing Notes, other than the
issue date and the issue price and will be treated as a single
class of notes with the Existing Notes for all purposes under the
indenture.
The Company expects to use the net proceeds from the offering to
repay indebtedness outstanding under its existing ABL credit
facility, to fund potential acquisitions in connection with its
ongoing strategy of acquiring rental companies to complement its
existing business and footprint, for general corporate purposes and
to pay fees and expenses in connection with the Offering.
The New Notes and related guarantees are being offered in a
private placement solely to qualified institutional buyers in
reliance on Rule 144A under the Securities Act of 1933, as amended
(the “Securities Act”), or outside the United States to persons
other than “U.S. persons” in compliance with Regulation S under the
Securities Act. The New Notes and related guarantees have not been
registered under the Securities Act or the securities laws of any
other jurisdiction and may not be offered or sold in the United
States absent registration or an applicable exemption from the
registration requirements.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy the New Notes or any other
securities, and shall not constitute an offer, solicitation or sale
in any state or jurisdiction in which such an offer, solicitation
or sale would be unlawful. Any offer of the New Notes will be made
only by means of a private offering memorandum. This press release
is being issued pursuant to and in accordance with Rule 135c under
the Securities Act.
Forward-Looking Statements
Statements contained in this press release that are not
historical facts, including statements about H&E’s beliefs and
expectations, are “forward-looking statements” within the meaning
of the federal securities laws. Statements that are not historical
facts, including statements about our beliefs and expectations are
forward-looking statements. Statements containing the words “may,”
“could”,” “would,” “should,” “believe,” “expect,” “anticipate,”
“plan,” “estimate,” “target,” “project,” “intend,” “foresee” and
similar expressions constitute forward-looking statements.
Forward-looking statements involve known and unknown risks and
uncertainties, which could cause actual results to differ
materially from those contained in any forward-looking statement.
Such factors include, but are not limited to, the
following: possible completion of the offering, the
prospective impact of a note offering, plans to repay certain
indebtedness (including the terms and success of such repayment),
the use of proceeds of the offering, including our ability to enter
into acquisition agreements, to consummate such acquisitions and
the success of such acquisitions, the Company’s ability to satisfy
the conditions contained in the agreement with the initial
purchasers with respect to the Offering and other factors discussed
in our public filings, including the risk factors included in the
Company’s most recent Annual Report on Form 10-K. Investors,
potential investors and other readers are urged to consider these
factors carefully in evaluating the forward-looking statements and
are cautioned not to place undue reliance on such forward-looking
statements. Except as required by applicable law, including the
securities laws of the United States and the rules and regulations
of the Securities and Exchange Commission, we are under no
obligation to publicly update or revise any forward-looking
statements after the date of this release. These statements are
based on the current beliefs and assumptions of H&E’s
management, which in turn are based on currently available
information and important, underlying assumptions. H&E is under
no obligation to publicly update or revise any forward-looking
statements after this press release, whether as a result of any new
information, future events or otherwise. Investors, potential
investors, security holders and other readers are urged to consider
the above mentioned factors carefully in evaluating the
forward-looking statements and are cautioned not to place undue
reliance on such forward-looking statements.
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version on businesswire.com: http://www.businesswire.com/news/home/20171120006131/en/
H&E Equipment Services, Inc.Leslie S. Magee,
225-298-5261Chief Financial Officerlmagee@he-equipment.comorKevin
S. Inda, 225-298-5318Vice President of Investor
Relationskinda@he-equipment.com
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