GNC to repay term debt, redeem preferred stock with PIK notes proceeds

By Sara Rosenberg

New York, Nov. 3 - GNC Corp. plans to repay some senior term loan debt, redeem outstanding series A preferred stock and pay a dividend to the common stockholders using proceeds from a proposed $325 million floating-rate senior PIK notes offering, according to a company news release.

The PIK notes will be offered to qualified institutional buyers pursuant to Rule 144A.

GNC also announced on Friday that it is exploring strategic alternatives to enhance stockholder value, including a possible sale of the company or an initial public offering of common stock.

The company previously filed an S-1 registration statement with the Securities and Exchange Commission for an IPO, but it was postponed in August.

GNC is a Pittsburgh-based specialty retailer of nutritional supplements.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.