TAMPA, Fla., Feb. 9, 2011 (GLOBE NEWSWIRE) -- Quality Distribution, Inc. (Nasdaq:QLTY) ("Quality") announced today that the underwritten public offering of approximately 4,000,000 shares of its common stock closed today. The offering, of which Quality offered for sale 2,000,000 shares and certain affiliates of Apollo Management, L.P. ("Apollo") offered for resale 2,000,000 shares was priced at $9.50 per share. In addition, the option to purchase up to 600,000 shares of additional common stock that Apollo granted to the underwriters of the common stock offering was fully exercised and also closed today.
The offering was made under Quality's registration statement on Form S-3 filed with the Securities and Exchange Commission. The book-running managers for the offering were Credit Suisse Securities (USA) LLC, Goldman, Sachs & Co. and RBC Capital Markets, LLC. The co-managers for the offering were Stifel, Nicolaus & Company, Incorporated, SunTrust Robinson Humphrey, Inc., Cantor Fitzgerald & Co., Moelis & Company LLC, Ladenburg Thalmann & Co. Inc. and Sterne, Agee & Leach, Inc.
Quality also announced today that its wholly owned subsidiaries, Quality Distribution, LLC ("QD LLC") and QD Capital Corporation ("QD Capital" and, together with QD LLC, the "Issuers") intend to redeem a portion of their 11.75% Senior Subordinated PIK Notes due 2013 (the "2013 PIK Notes") using a portion of the proceeds from the common stock offering. The Issuers have issued a notice of redemption pursuant to the indenture for the 2013 PIK Notes stating that they intend to redeem $17,500,000 aggregate principal amount of such 2013 PIK Notes on March 11, 2011 (the "Redemption Date"). The redemption price for the 2013 PIK Notes will be equal to 100% of the principal amount of the 2013 PIK Notes plus accrued and unpaid interest thereon to the Redemption Date.This press release does not constitute an offer to sell or a solicitation of an offer to buy any security, nor does it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. The offering may be made only by means of a prospectus and a related prospectus supplement, copies of which may be obtained from Credit Suisse Prospectus Department, One Madison Avenue, New York, New York 10010 or by contacting Quality Distribution, Inc., 4041 Park Oaks Boulevard, Suite 200, Tampa, Florida 33610, Attn: Corporate Secretary.