MGP Ingredients, Inc. said it will offer $175 million aggregate principal amount of convertible senior notes due 2041 in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”).
In connection with the offering, MGP also expects to grant the initial purchasers of the Notes an option to purchase, within a 13-day period beginning on, and including, the date on which the Notes are first issued, up to an additional $26.25 million aggregate principal amount of the Notes, solely to cover over-allotments.
Proceeds will be used to reduce the outstanding balance of MGP’s revolving credit facility.