LSB Industries places $50 million of 12% notes; Mid Penn to issue $7.5 million of notes

By Lisa Kerner

Charlotte, N.C., Nov. 10 – LSB Industries, Inc. privately placed $50 million of 12% senior secured notes due August 2019 with an affiliate of Security Benefit Corp.

While the notes were issued with a 12% annual interest rate, they are subject to a limited reset based on certain circumstances, but in any event not to exceed a 13.5% annual interest rate.

LSB is a manufacturing, marketing and engineering company based in Oklahoma City.

Mid Penn Bancorp, Inc. agreed to issue $7.5 million of subordinated notes due 2025.

The offer is expected to close on or about Dec. 9, according to an 8-K filed with the Securities and Exchange Commission.

The notes will bear interest at a rate of 5.15% per year for the first five years and then float at the Wall Street Journal’s prime rate plus 50 basis points, provided that the interest rate applicable to the outstanding principal balance will at no times be less than 4%.

Mid Penn intends to use the proceeds to redeem its series B preferred shares and for general corporate purposes, including the redemption, if approved, of all of the issued and outstanding shares of its senior non-cumulative perpetual preferred stock, series C, which are held by the Department of the Treasury and issued pursuant to its Small Business Lending Fund program.

Mid Penn is a Millersburg, Pa.-based bank holding company.

© 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.