Mercer International Inc. Announces Pricing of Private Offering of Senior Notes
September 19 2023 - 7:24PM
Mercer International Inc. (Nasdaq: MERC) (the "Company") today
announced the pricing of its private offering of $200.0 million in
aggregate principal amount of 12.875% senior notes due October 1,
2028 (the "2028 Notes").
The 2028 Notes are being issued at a price of
100% of their principal amount. The net proceeds of the offering
will be used by the Company to pay down borrowings under its
Canadian revolving credit facility, and for working capital and
general corporate purposes, including discretionary capital
projects at its facilities.
The offering of the 2028 Notes is expected to
close on or around September 21, 2023, subject to the satisfaction
of customary closing conditions.
The 2028 Notes are being offered and sold to
qualified institutional buyers in reliance on Rule 144A under the
Securities Act of 1933, as amended (the "Securities Act"), and
outside the United States to non-U.S. persons in reliance on
Regulation S under the Securities Act.
The 2028 Notes have not been registered under
the Securities Act, or any state securities laws, and unless so
registered, may not be offered or sold in the United States except
pursuant to an exemption from, or in a transaction not subject to,
the registration requirements of the Securities Act and applicable
state securities laws. 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 2028 Notes in any state or jurisdiction in
which such offer, solicitation or sale would be unlawful.
Mercer International Inc. is a global forest
products company with operations in Germany, the United States and
Canada with consolidated annual production capacity of 2.3 million
tonnes of pulp, 960 million board feet of lumber, 210,000 cubic
meters of cross-laminated timber, 45,000 cubic meters of glulam, 17
million pallets and 230,000 metric tonnes of biofuels.
The preceding contains "forward looking
statements" within the meaning of federal securities laws and is
intended to qualify for the safe harbor from liability established
by the Private Securities Litigation Reform Act of 1995, including,
without limitation, the Company's intentions regarding the
consummation of the offering of the 2028 Notes and the intended use
of proceeds. "Forward looking statements" involve unknown risks and
uncertainties which may cause the Company's actual results in
future periods to differ materially from forecasted results. These
statements are based on the Company's management's estimates and
assumptions with respect to future events, which include
uncertainty as to its ability to consummate the offering of the
2028 Notes, which estimates are believed to be reasonable, though
inherently uncertain and difficult to predict. A discussion of
factors that could cause actual results to vary is included in the
Company's Annual Report on Form 10-K and other periodic reports
filed with the Securities and Exchange Commission.
APPROVED BY:
Jimmy S.H. Lee
Executive Chairman
(604) 684-1099
Juan Carlos Bueno
Chief Executive Officer
(604) 684-1099
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