RBC Bearings to redeem 13% notes, refinance credit facility alongside IPO

New York, May 11 - RBC Bearings Inc. said it intends to redeem all $38.6 million principal amount of its 13% discount debentures due 2009, repay its $45 million second lien term loan and amend or refinance its senior credit facility as part of a series of transactions linked to a planned initial public offering.

Proceeds from the IPO and the credit facility refinancing will be used to fund the debt redemptions and also to redeem its class C preferred stock and half its class D preferred stock.

The credit facility amendment or refinancing is intended to increase borrowings.

RBC Bearings, an Oxford, Conn., maker of plain, roller and ball bearings, registered to sell up to $143.75 million of stock in an S-1 filing with the Securities and Exchange Commission.

Merrill Lynch & Co. is bookrunner for the stock sale.

In addition to the second lien loan, RBC's current credit facility includes a $55 million revolver and a $110 million term loan.

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