LOS ANGELES--(BUSINESS WIRE)--Reliance Steel & Aluminum Co. (NYSE: RS) announced today that it proposes to offer, subject to market and other considerations, $500 million principal amount of senior notes due 2023. Actual terms of the notes, including interest rate, will depend on market conditions at the time of pricing. The notes will be guaranteed by Reliance’s subsidiaries that guarantee its credit agreement and its senior notes due 2016 and 2036. Reliance intends to use the net proceeds to finance a portion of its pending acquisition of Metals USA Holdings Corp. If Reliance does not consummate its acquisition of Metals USA on or prior to December 15, 2013, the merger agreement with Metals USA is terminated at any time prior thereto or Reliance determines in its reasonable judgment that the acquisition will not occur, Reliance will be required to redeem all of the notes at a purchase price in cash equal to 101% of their aggregate principal amount, plus accrued and unpaid interest.
J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated and Wells Fargo Securities, LLC are acting as joint book-running managers of the offering.
The offering is being made only by means of a preliminary prospectus supplement and an effective registration statement (including a prospectus), which have been filed with the SEC. A copy of the preliminary prospectus supplement and accompanying prospectus for the offering may be obtained by contacting J.P. Morgan Securities LLC, Attention: Investment Grade Syndicate Desk, 383 Madison Avenue, New York, New York 10179, by phone at 1-212-834-4533, or by fax at 1-212-834-6081; or Merrill Lynch, Pierce, Fenner & Smith Incorporated, Attention: Prospectus Department, 222 Broadway, 7th Floor, New York, New York 10038, by email at email@example.com, or by phone at 1-800-294-1322; or Wells Fargo Securities, LLC, Attention: Capital Markets Client Support, 1525 West W.T. Harris Blvd., NC0675, Charlotte, North Carolina 28262, by email at firstname.lastname@example.org, or by phone at 1-800-326-5897. Alternatively, you may get these documents for free by visiting the SEC’s website at www.sec.gov. This press release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, and shall not constitute an offer, solicitation or sale in any state or other jurisdiction in which such an offer, solicitation or sale would be unlawful.
About Reliance Steel & Aluminum Co.
Reliance Steel & Aluminum Co., headquartered in Los Angeles, California, is the largest metals service center company in North America (U.S. and Canada). Through a network of more than 240 locations in 38 states and 10 countries outside the United States, the Company provides value-added metals processing services and distributes a full line of over 100,000 metal products to more than 125,000 customers in a broad range of industries.
Certain statements in this press release may constitute “forward-looking” statements, as defined under the Private Securities Litigation Reform Act of 1995. Words such as “expects,” “anticipates,” “intends,” “plans,” “projects,” “believes,” “estimates,” “forecasts” and similar expressions are used to identify these forward-looking statements. Forward-looking statements in this press release include, but are not limited to, statements concerning the proposed acquisition of Metals USA Holdings Corp., the anticipated amount and terms of the offering and whether the offering will close. Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Actual outcomes and results may differ materially from what is expressed or forecasted in these forward-looking statements as a result of various important factors, including, but not limited to, those disclosed in Reliance’s reports on file with the SEC. As a result, these statements speak only as of the date that they were made, and Reliance undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Additional risks and uncertainties relating to the offering, Reliance and its business can be found in Reliance’s Annual Report on Form 10-K for the year ended December 31, 2012 filed with the SEC and in the preliminary prospectus supplement relating to the offering and in the prospectus supplement relating to the offering to be filed with the SEC.
Reliance Steel & Aluminum Co.