B&G Foods Announces Pricing of Term Loan B Facility
B&G Foods, Inc. (NYSE:BGS) announced today the pricing of a $450.0 million tranche B term loan facility under B&G Foods’ existing senior secured credit facility. As previously announced, B&G Foods intends to use the proceeds of the new term loans, together with the net proceeds of B&G Foods’ previously announced offering of $550.0 million of 5.25% senior notes due 2027, to redeem all of B&G Foods’ outstanding 4.625% senior notes due 2021, repay a portion of B&G Foods’ borrowings under its revolving credit facility, pay related fees and expenses and for general corporate purposes.
The tranche B term loan facility will be issued at a price equal to 99.50% of its face value and will bear interest at a rate of LIBOR plus 2.50%, with a 0.0% LIBOR floor and will have a seven year maturity. The tranche B term loan facility is expected to close on October 11, 2019, subject to customary closing conditions.
Barclays, Deutsche Bank Securities, RBC Capital Markets, BofA Merrill Lynch, BMO Capital Markets, Goldman Sachs & Co. LLC, J.P. Morgan, and Credit Suisse are acting as joint lead arrangers and bookrunners, and Capital One Securities, Citigroup, Citizens Capital Markets, Rabo Securities and TD Securities are acting as joint co-documentation agents.
This press release does not constitute a redemption notice with respect to the 4.625% senior notes and shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the 5.25% senior notes in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The 5.25% senior notes offering is being made only by means of a prospectus and the related prospectus supplement included as part of an effective shelf registration statement previously filed with the Securities and Exchange Commission.
About B&G Foods, Inc.
Based in Parsippany, New Jersey, B&G Foods and its subsidiaries manufacture, sell and distribute high-quality, branded shelf-stable and frozen foods across the United States, Canada and Puerto Rico. With B&G Foods’ diverse portfolio of more than 50 brands you know and love, including Back to Nature, B&G, B&M, Cream of Wheat, Green Giant, Las Palmas, Le Sueur, Mama Mary’s, Maple Grove Farms, Mrs. Dash, New York Style, Ortega, Polaner, SnackWell’s, Spice Islands and Victoria, there’s a little something for everyone.