Algeco Scotsman Announces Pricing of Notes Offering
Baltimore (February 6, 2018) – Algeco Scotsman Global S.à r.l. (“A/S Global” and, together with its subsidiaries, “Algeco Scotsman”), today announced that it has successfully priced a notes offering by two of its affiliates.
Algeco Scotsman Global Finance plc priced its offering of senior secured notes (the “Senior Secured Notes”) which consist of the following tranches:
€600,000,000 Senior Secured Fixed Rate Notes due 2023, to be issued with a coupon of 6.50% per annum and a yield to maturity of 7.00%; $520,000,000 Senior Secured Fixed Rate Notes due 2023, to be issued with a coupon of 8.00% per annum and a yield to maturity of 8.50%; and €150,000,000 Senior Secured Floating Rate Notes due 2023, to be issued with a coupon of EURIBOR plus 625 bps per annum.
Algeco Scotsman Global Finance 2 plc priced its offering of $305,000,000 aggregate principal amount Senior Notes due 2023 (the “Senior Notes” and, together with the Senior Secured Notes, the “Notes”). The Senior Notes priced with a coupon of 10.00% per annum and a yield to maturity of 11.50%.
The proceeds of the Notes, together with proceeds from an equity contribution, borrowings under a new asset-based loan facility and cash on hand, will be used, among other things, to repay existing indebtedness, including all indebtedness outstanding under Algeco Scotsman’s existing asset-based loan facilities agreement, existing senior secured notes and existing senior unsecured notes.
The closing of the sale of the Notes is scheduled to be completed on February 15, 2018, and is subject to customary conditions.
The Notes are being offered in a private placement transaction to qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and outside the United States to non-U.S. persons in accordance with Regulation S under the Securities Act. The Notes have not been registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
About Algeco Scotsman
Algeco Scotsman is the leading global business services provider focused on modular space, secure portable storage solutions, and remote workforce accommodation management. Headquartered in Baltimore, Algeco Scotsman has operations in 24 countries with approximately 245,000 modular space and portable storage units and 11,400 remote accommodations rooms. The company operates as Target Logistics in North America, Algeco in Europe, Elliott in the United Kingdom, Ausco in Australia, Portacom in New Zealand, and Algeco Chengdong in China.
Cautionary Notice Regarding Forward Looking Statements
This press release contains statements reflecting assumptions, expectations, projections, intentions or beliefs about future events that are intended as “forward-looking statements,” particularly those statements concerning expectations regarding the use of proceeds from the offering. A number of risks and uncertainties could cause our actual results to differ materially from current projections, forecasts, estimates and expectations relating to us. Any or all of these forward-looking statements may turn out to be wrong. They can be affected by inaccurate assumptions or by known or unknown risks, uncertainties and other factors, many of which are beyond our control.
This press release shall not constitute a solicitation of a proxy, consent or authorization with respect to any securities and shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any states or jurisdictions in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Important Regulatory Notice
This announcement contains information that prior to its disclosure may have constituted inside information under European Union Regulation 596/2014 on market abuse.
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