PPC completes $500 million offering in senior unsecured notes
by Meat&Poultry Staff
SÃO PAULO, Brazil – Pilgrim's Pride Corporation, listed on the New York Stock Exchange under the ticker PPC which is controlled by JBS USA Holdings, completed the private offering of US$500 million aggregate principal amount of senior unsecured notes (bonds) due 2018, These notes will bear an interest rate of 7.875% per annum, payable semi-annually in arrears on June 15 and Dec. 15 of each year, beginning June 15, 2011.
Net proceeds from this offering will be used to repay borrowings under Pilgrim's Pride existing term loan credit facilities.
This issuance will create a more positive debt profile for Pilgrim's Pride to continue it's market and growth strategy not only domestically in the North American market but also its exports, JBS said. Furthermore, the substantial oversubscription observed is a demonstration of the confidence the financial community has in the company and in the sector, JBS concluded.