DALLAS, May 13, 2013 (GLOBE NEWSWIRE) -- Builders FirstSource, Inc. (Nasdaq:BLDR), a leading supplier and manufacturer of structural and related building products for residential new construction in the United States, today announced that it intends to offer, in a private offering subject to market and other conditions, $350.0 million aggregate principal amount of senior secured notes due 2021 (the "Notes"). Obligations under the Notes will initially be guaranteed by all of the company's operating subsidiaries and certain of its non-operating subsidiaries. In connection with the offering, the company intends to enter into a new senior secured ABL revolving credit facility. Such facility is expected to provide for revolving credit borrowings of up to $175.0 million and is expected to be undrawn at closing. The company intends to use the net proceeds from the offering, together with cash on hand, to (i) redeem its $139.7 million aggregate principal amount of second priority senior secured floating rate notes due 2016 at par plus accrued and unpaid interest thereon to the redemption date, (ii) repay in full $225.0 million in term loan borrowings outstanding under its existing credit facility plus a prepayment premium of approximately $39.1 million and accrued and unpaid interest and terminate its existing credit facility and (iii) pay fees and expenses in connection therewith.
The Notes will be offered only to qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended (the "Securities Act"), and to certain non-U.S. persons in transactions outside the United States under Regulation S of the Securities Act. The issuance and sale of the Notes will not be registered under the Securities Act, and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and other applicable securities laws.