The refinancing plan, as announced in September, included a new $550 million senior secured credit agreement, consisting of a three year revolving facility and a five year term loan, a $300 million offering of senior secured notes, and a $40 million supplemental letter of credit facility.
FMC said it intends to use the borrowed funds to repay its upcoming debt maturities, including its $99.5 million of 7.125% medium term notes due November, and $160.5 million of 6.375% debentures due next September.
The notes to be issued were priced at 98.772% of the principal amount and will generate gross cash proceeds of about $350.6 million with a coupon of 10.25% and a yield to maturity of 10.5%.
The offering is expected to close on October 21 and is subject to certain closing conditions, including the execution of a new $500 million credit facility.
FMC supplies a range of lithium based products used in primary and rechargeable batteries for military and commercial telecommunications. Specifically the company produces a range of oil and gas products including sodium bicarbonate hemodialysis grade, sodium bicarbonate with tricalcium phosphate added, and hydrogen peroxide which meets stringent specifications for nonpropellant, bipropellant and hybrid propulsion applications.
