LeapRate was the first to announce on February 28 this year that KCG Holdings, Inc. Class A (NYSE:KCG) had made plans to launch a capital markets debt transaction, subject to market conditions.
At the time, KCG had intended to conduct the transaction within a week, however today this has come to fruition as the company has confirmed that on March 10, 2015, it priced a private offering of $500 million principal amount of 6.875% senior secured notes due 2020 (the “Notes”).
KCG intends to use the net proceeds from the offering to repay KCG’s maturing convertible notes and redeem KCG’s existing senior secured notes as well as for general corporate purposes, which may include share and warrant repurchases.
The Notes will be sold only to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and outside of the United States to non-U.S. persons pursuant to the Securities Act.
The Notes have not been registered under the Securities Act or any state securities laws, and 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 state securities laws.
This press release is being issued pursuant to Rule 135c under the Securities Act, and is neither an offer to sell nor a solicitation of an offer to buy the Notes and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.
For the official announcement from KCG, click here.