New Issue: Warrior Met Coal prices $125 million tap of 8% notes due 2024 at 103 to yield 7.42%

By Paul A. Harris

Portland, Ore., Feb. 26 – Warrior Met Coal, Inc. priced a $125 million add-on to its 8% senior secured notes (B3/B) at 103 to yield 7.42% in a quick-to-market Monday trade, according to a syndicate source.

The reoffer price came on top of both price talk and initial guidance.

Goldman Sachs & Co. was the left bookrunner. Credit Suisse Securities (USA) LLC, Morgan Stanley & Co. LLC, BMO Securities, Citigroup Global Markets Inc. and RBC Capital Markets LLC were the joint bookrunners.

The Brookwood, Ala.-based metallurgical coal producer plans to use the proceeds, together with cash on hand, to pay one or more special cash dividends of up to $350 million.

Issuer:	Warrior Met Coal, Inc.
Amount:	$125 million
Maturity:	Nov. 1, 2024
Security description:	Add-on to 8% senior secured notes due Nov. 1, 2024
Left bookrunner:	Goldman Sachs & Co.
Joint bookrunners:	Credit Suisse Securities (USA) LLC, Morgan Stanley & Co. LLC, BMO Securities, Citigroup Global Markets Inc., RBC Capital Markets LLC
Co-managers:	Apollo Global Securities, Blackstone Capital Markets, KKR
Coupon:	8%
Price:	103
Yield:	7.42%
First call:	Nov. 1, 2020 at 104
Trade date:	Feb. 26
Settlement date:	March 1
Ratings:	Moody's: B3
	S&P: B
Distribution:	Rule 144A and Regulation S for life
Price talk:	103
Marketing:	Quick to market
Original issue:	$350 million priced at par on Oct. 26, 2017
Total issue size:	$475 million

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