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8-K - FORM 8-K - EXIDE TECHNOLOGIES | g25787e8vk.htm |
Exhibit 99.1
Exide Technologies Announces Pricing of Private Placement of Senior Secured Notes
MILTON, Ga., January 13, 2011 (GLOBE NEWSWIRE) Exide Technologies (the Company)(Nasdaq:
XIDE), a global leader in electrical energy solutions, today announced the pricing of its private
placement of $675 million in aggregate principal amount of 85/8% senior secured notes due 2018
(the Notes). The Notes were priced at 100% of the
principal amount of the Notes, plus accrued interest from
January 25, 2011, if any. The Notes
will be the Companys senior secured obligations and will not be guaranteed by any of the Companys
subsidiaries on the issue date.
The closing of the offering of the Notes is expected to occur on or about January 25, 2011 and is
conditioned upon the Company concurrently entering into a new senior secured asset-based revolving
credit facility, as well as other customary conditions.
The Company intends to use the net proceeds from the offering of Notes to (i) to repay outstanding
borrowings under the Companys existing credit facilities, (ii) to fund the tender offer and
consent solicitation or the redemption by the Company, as applicable, of its outstanding 10.5%
senior notes due 2013, and (iii) for ongoing working capital and other general corporate purposes.
The Notes have not been registered under the Securities Act of 1933 (the 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 therefrom. The Notes will be offered only to qualified
institutional buyers in reliance Rule 144A under the Act and to certain non-US persons outside the
United States in reliance on Regulation S under the Act.
This press release does not constitute an offer to sell or a solicitation of an offer to buy the
Notes, nor shall there be any offer, solicitation or sale of any Notes in any jurisdiction in which
such offer, solicitation or sale would be unlawful. This release is being issued pursuant to and
in accordance with Rule 135c under the Act.
Forward-Looking Statements
Except for historical information, this press release may be deemed to contain forward-looking
statements. The Company is including this cautionary statement for the express purpose of availing
itself of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements are not statements of historical fact, and may include, among
other things, statements regarding the use of proceeds received by the Company from the Notes, the
timing, costs and the Companys ability to consummate the transactions described herein, and other
future events. Actual results are subject to a number of risks and uncertainties and may differ
materially from the current expectations and beliefs discussed in this press release. Factors that
could cause actual results to differ materially from these forward looking statements include, but
are not limited to, general economic conditions, conditions in the capital markets and debt
markets, completion on terms acceptable to the Company of its new senior secured asset-based
revolving credit facility, the Companys substantial debt and debt service requirements which may
restrict the Companys operational and financial flexibility, as well as impose significant
interest and financing costs, and various other uncertainties associated with the industries in
which the Company operates and the Companys operations described in the Companys annual report on
Form 10-K filed with the Securities and Exchange Commission on June 2, 2010 and its other periodic
reports filed from time to time thereafter.
The Company cautions each reader of this news release to carefully consider those factors set forth
above. Such factors have, in some instances, affected and in the future could affect the ability
of the Company to achieve its projected results and may cause actual results to differ materially
from those expressed herein.