Clearwater Paper announces pricing of 275 million of senior notes
Jan 18, 2013. Clearwater Paper Corporation upsized and priced 275 million aggregate principal amount of senior notes due 2023 (the “Notes”). The Notes will have an interest rate of 4.5% per annum and are being issued at a price equal to 100% of their face value.
Jan 18, 2013. /Lesprom Network/. Clearwater Paper Corporation upsized and priced 275 million aggregate principal amount of senior notes due 2023 (the “Notes”). The Notes will have an interest rate of 4.5% per annum and are being issued at a price equal to 100% of their face value, as the company said in a press release received by Lesprom Network.
The company estimates that the net proceeds from the offering will be approximately $270.7 million after deducting discounts and estimated offering expenses.
Clearwater Paper intends to use approximately $163.9 million of the net proceeds to redeem all of its outstanding 10.625% Senior Notes due 2016, and to use $100 million of the net proceeds to purchase shares of the company’s common stock pursuant to the company’s previously announced $100 million stock repurchase program. The company intends to use the remaining net proceeds for general corporate purposes.
Clearwater Paper manufactures quality consumer tissue, away-from-home tissue, parent roll tissue, machine glazed tissue, bleached paperboard and pulp at 15 manufacturing locations in the U.S. and Canada. The company is a premier supplier of private label tissue to major retailers and wholesale distributors.