MORRISVILLE, N.C. (AP) ¿ Leaf tobacco producer Alliance One International Inc. on Wednesday said it now plans to offer $100 million in senior notes.
Earlier Wednesday, the company said it planned an offering of $75 million worth of 10 percent senior notes due 2016. The notes are priced at 97.5 percent of face value, for gross proceeds of $97.5 million.
The company said it plans to use the proceeds to pay off borrowings under some short-term seasonal credit lines from foreign financing sources that mature over the next two to ten months.
The notes are part of the same series as some outstanding senior notes due 2016 that were issued on July 2. There will be now be $670 million outstanding notes in the series once the offering closes, up from $645 million expected earlier.Alliance One International buys, processes, stores and sells leaf tobacco to cigarette manufacturers and other consumer tobacco products in the United States, South America, Europe and Asia. Its shares closed up 13 cents at $3.99 Wednesday.