Trailer maker Wabash National Corp. launched a private offering of $325 million in senior unsecured notes as part of the purchase for the previously announced pending acquisition of truck body builder Supreme Industries Inc.
In addition, Wabash will use available cash and cash equivalents in ttrahe transaction, the Lafayette, Ind.-based company said.
Wabash announced Aug. 8 a cash tender offer for $21 per share, which represents an equity value of $364 million and an enterprise value of $342 million, for Supreme.
The notes will be guaranteed on a senior unsecured basis by certain of Wabash National’s direct and indirect existing and future domestic subsidiaries, according to the company.
In addition, the offering is not conditioned upon the completion of the acquisition of Goshen, Ind.-based Supreme, according to Wabash. However, the notes will be subject to a special mandatory redemption if the Supreme acquisition is not consummated.