24.07.2018

Ashtead note sale

Ashtead is conducting a private offering for $600 million worth of senior secured loan notes with a maturity date of 2026.

The initial plan floated yesterday was for $500 million but following initial feedback it has increased this to $600 million. The notes have been priced today at 5.25 percent. The offering will close on Thursday.

Ashtead intends to use the proceeds to repay a portion of the outstanding amounts borrowed under its first priority senior secured credit facility along with related fees and expenses.

Chief executive, Geoff Drabble said: "We are delighted with the support our new offering has commanded from investors. Good credit markets have enabled us to fix the cost of a further tranche of our debt at attractive long term rates and extend our average debt maturity beyond six years. This enhances the flexibility of our debt package and further strengthens our balance sheet."