Magpul scraps effort to place $300 million secured notes as market turns cold shoulder

By Paul A. Harris

Portland, Ore., June 25 – Ammo magazine-maker Magpul Industries Corp. abandoned an effort to place $300 million of seven-year senior secured second-lien notes (B1), according to market sources.

Amid conversations to structure the deal with first-lien security in place of the announced second-lien structure, the offer failed to gain traction as it ran into environmental, social, and corporate governance concerns, sources said.

B. Riley Securities was making an ultra-rare appearance as bookrunner for the Rule 144A and Regulation S deal, which came into the market with initial guidance in the 5½% area.

The Austin, Tex.-based firearms accessories manufacturer had been in the market to raise cash for debt refinancing and to fund a shareholder dividend.

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