InvestorsHub Logo
Followers 38
Posts 2912
Boards Moderated 0
Alias Born 06/05/2012

Re: None

Wednesday, 10/31/2012 10:20:44 AM

Wednesday, October 31, 2012 10:20:44 AM

Post# of 30990
RAI has filed an 8K

Thanks to williamjay63 on Yahoo for finding this nugget...

Entry into a Material Definitive Agreement, Creation of a Direct Financial

Item 1.01. Entry into a Material Definitive Agreement.

On October 24, 2012, Reynolds American Inc. ("RAI") entered into an Underwriting Agreement related to the underwritten public offering of $2.55 billion aggregate principal amount of its senior notes, consisting of: (i) $450,000,000 aggregate principal amount of its 1.050% Senior Notes due 2015 (the "2015 Notes");

(ii) $1,100,000,000 aggregate principal amount of its 3.250% Senior Notes due 2022 (the "2022 Notes"); and (iii) $1,000,000,000 aggregate principal amount of its 4.750% Senior Notes due 2042 (the "2042 Notes," and together with the 2015 Notes and the 2022 Notes, the "Notes"). The Notes were registered pursuant to RAI's shelf registration statement (File No. 333-167129) under the Securities Act of 1933, as amended, filed with the Securities and Exchange Commission on May 27, 2010 (the "Registration Statement"). The sale of the Notes is expected to close on October 31, 2012, subject to customary closing conditions.

RAI intends to use the net proceeds from the offering of the Notes to redeem or repurchase the $625 million aggregate principal amount of RAI's 7.25% notes due 2013, to repay or prepay in full the $550 million amount currently outstanding under RAI's term loan facility, plus accrued interest, to repurchase shares of RAI's common stock, and for other general corporate purposes.



So today RAI closes on a $2.5 billion dollar financing. On Friday the 9th Star releases their 10Q and then on Monday the 12th at 9:00 am, RAI holds their Investor Kickoff Announcement (conference call?).

The next 12 days are shaping up to be very interesting indeed.

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.