Neff to redeem 13% notes, repay some bank debt with IPO proceeds

New York, May 26 - Neff Corp. said it plans to redeem all $77 million of its 13% senior subordinated notes due 2013 and repay $51.8 million of the borrowings under its asset-based credit facility due 2010 with proceeds from an initial public offering of common stock.

Remaining proceeds will be used for the prepayment penalty on the 13% notes and to pay fees and expenses of the offering.

If the IPO greenshoe is exercised, the additional funds raised will be used to repay further bank debt.

As of March 31, Neff had $142.5 million borrowed on the credit facility.

The Miami-based equipment rental company registered to sell up to $345 million of common stock in the IPO, according to an S-1 filing with the Securities and Exchange Commission.

Credit Suisse and UBS Investment Bank will be bookrunners with CIBC World Markets as joint lead manager for the IPO. Robert W. Baird & Co. and William Blair & Co. will be co-managers.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.