Rayonier starts roadshow for $500 million springing maturity notes

By Paul A. Harris

Portland, Ore., Dec. 7 – Rayonier A.M. Products Inc. began a roadshow on Monday for a $500 million offering of senior secured notes due Jan. 15, 2026, being sold with a springing maturity.

An investor call is scheduled to begin at 11 a.m. ET on Tuesday.

The roadshow runs through Friday.

BofA Securities Inc. is the left bookrunner. Houlihan Lokey is the joint bookrunner. PNC Capital Markets LLC is the co-manager.

The notes mature on Jan. 15, 2026 unless the amount of the issue outstanding is less than $50 million either 91 days prior to the maturity of the company's existing 5½% senior notes due 2024 or 91 days prior to the maturity date of any debt incurred to refinance those 2024 notes.

The Rule 144A and Regulation S for life notes become callable after three years at par plus 50% of the coupon.

Proceeds minus initial purchaser discounts, commissions and other offering expenses, together with cash on hand, will be used to pay off the company's existing credit agreement (other than outstanding letters of credit, which will be rolled into – or in respect of which back-to-back letters of credit will be issued under – the proposed ABL credit facility).

Rayonier is a Jacksonville, Fla.-based producer of cellulose-based technologies used in food, pharmaceuticals and other industrial applications.

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