Arcosa, Inc. has announced the closing of a significant offering of $600.0 million aggregate principal amount of 6.875% senior notes due 2032. The company plans to use the net proceeds from this offering, along with expected borrowings, to fund its acquisition of the construction materials business of Stavola Holding Corporation and affiliated entities, and to repay amounts outstanding under its revolving credit facility.
The notes are senior unsecured obligations of Arcosa and are guaranteed on a senior unsecured basis by each of Arcosa’s domestic subsidiaries that is a guarantor under its senior credit facility.
This offering was made to "qualified institutional buyers" in reliance on rule 144a under the Securities Act of 1933 and to certain non-U.S. persons in compliance with regulation S under the Securities Act.
Arcosa, Inc. is a provider of infrastructure-related products and solutions with leading positions in construction, engineered structures, and transportation markets. The company reports its financial results in three principal business segments: construction products, engineered structures, and transportation products.
This announcement comes as the company continues to make strategic moves to bolster its position in the market and expand its business operations. The market has reacted to these announcements by moving the company's shares 1.4% to a price of $92.65. For more information, read the company's full 8-K submission here.
