Kraton starts roadshow for $425 million eight-year notes offering

By Paul A. Harris

Portland, Ore., Dec. 7 – Kraton Polymers LLC started a roadshow on Monday for a $425 million offering of eight-year senior notes (B3/CCC+), according to a syndicate source.

The Rule 144A and Regulation S for life deal is set to price late this week.

Credit Suisse Securities (USA) LLC, Nomura and Deutsche Bank Securities Inc. are the joint bookrunners.

The notes, which are set to mature in 2023, become callable after three years at par plus 75% of coupon and feature a three-year 40% equity clawback and a 101% poison put.

The Houston-based producer of engineered polymers and styrenic block copolymers plans to use the proceeds to help finance the acquisition of Arizona Chemical Holdings Corp., Jacksonville, Fla.-based specialty chemicals company.

Early guidance has the notes coming in a mid-10% yield context, according to a trader.

© 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.