Pilgrim’s Pride Closes $500.0 million Senior Unsecured Notes Offering
March 07 2018 - 11:58AM
Pilgrim’s Pride Corporation (NASDAQ:PPC) (the “Company”) today
announced it has closed an offering of $500.0 million in aggregate
principal amount of notes consisting of $250.0 million in aggregate
principal amount of additional 5.750% senior unsecured notes due
2025 (the “Additional 2025 Notes”) and $250.0 million in aggregate
principal amount of additional 5.875% senior unsecured notes due
2027 (the “Additional 2027 Notes” and, together with the Additional
2025 Notes, the “Notes”).
The Company intends to apply the aggregate net
proceeds from the offering of the Notes in connection with (i) an
offer to purchase for cash (the “Tender Offer”) any and all of the
outstanding 6.25% senior notes due 2021 issued by Moy Park (Bondco)
Plc, a financing subsidiary of Moy Park Holdings (Europe) Limited
and an indirect subsidiary of the Company (the “Moy Park Notes”)
pursuant to an Offer to Purchase and Consent Solicitation Statement
dated February 21, 2018 (the “Offer to Purchase”) and (ii) the
“optional redemption” provision in the indenture governing the Moy
Park Notes to redeem any Moy Park Notes that remain outstanding on
or after May 29, 2018. The balance of the net proceeds from
the sale of the Notes will be used to repay a portion of certain of
the Company’s outstanding secured debt and for general corporate
purposes.
This press release does not constitute (i) an
offer to purchase or a solicitation of an offer to purchase the Moy
Park Notes or (ii) a notice of redemption for purposes of the
redemption provisions of the indenture governing the Moy Park
Notes. The Tender Offer is being made solely by Moy Park
(Bondco) Plc to the holders of the Moy Park Notes pursuant to the
Offer to Purchase.
The Notes were sold in a private offering exempt
from the registration requirements of the United States Securities
Act of 1933, as amended (the “Securities Act”). The Notes were sold
only to “qualified institutional buyers” pursuant to Rule 144A of
the Securities Act and to certain persons outside the United
States pursuant to Regulation S of the Securities Act.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy the Notes. The Notes have not been
registered under the Securities Act, or any state securities laws.
Unless so registered, the Notes may not be offered or sold in the
United States except pursuant to an exemption from the registration
requirements of the Securities Act, and applicable state securities
laws.
About Pilgrim’s Pride
Pilgrim’s employs approximately 51,300 people and operates
chicken processing plants and prepared-foods facilities in 14
states, Puerto Rico, Mexico, the U.K, and continental Europe.
The Company’s primary distribution is through retailers and
foodservice distributors. For more information, please visit
www.pilgrims.com.
Forward-Looking Statements
Statements contained in this press release that state the
intentions, plans, hopes, beliefs, anticipations, expectations or
predictions of the future of Pilgrim’s Pride Corporation and its
management are considered forward-looking statements. It is
important to note that actual results could differ materially from
those projected in such forward-looking statements. Factors that
could cause actual results to differ materially from those
projected in such forward-looking statements include: matters
affecting the poultry industry generally; the ability to execute
the Company’s business plan to achieve desired cost savings and
profitability; future pricing for feed ingredients and the
Company’s products; outbreaks of avian influenza or other diseases,
either in Pilgrim’s Pride’s flocks or elsewhere, affecting its
ability to conduct its operations and/or demand for its poultry
products; contamination of Pilgrim’s Pride’s products, which has
previously and can in the future lead to product liability claims
and product recalls; exposure to risks related to product
liability, product recalls, property damage and injuries to
persons, for which insurance coverage is expensive, limited and
potentially inadequate; management of cash resources; restrictions
imposed by, and as a result of, Pilgrim’s Pride’s leverage; changes
in laws or regulations affecting Pilgrim’s Pride’s operations or
the application thereof; new immigration legislation or increased
enforcement efforts in connection with existing immigration
legislation that cause the costs of doing business to increase,
cause Pilgrim’s Pride to change the way in which it does business,
or otherwise disrupt its operations; competitive factors and
pricing pressures or the loss of one or more of Pilgrim’s Pride’s
largest customers; currency exchange rate fluctuations, trade
barriers, exchange controls, expropriation and other risks
associated with foreign operations; disruptions in international
markets and distribution channel, including anti-dumping
proceedings and countervailing duty proceedings; and the impact of
uncertainties of litigation as well as other risks described under
“Risk Factors” in the Company’s Annual Report on Form 10-K and
subsequent filings with the Securities and Exchange Commission.
Pilgrim’s Pride Corporation undertakes no obligation to update or
revise publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.
Contact: |
Dunham Winoto |
|
Director, Investor
Relations Pilgrim’s Pride Corporation |
|
IRPPC@pilgrims.com |
|
(970) 506 8192 |
|
www.pilgrims.com |
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