LSB Industries announced this week that affiliates of the holding company, Eldridge Industries LLC intend to offer for sale an aggregate of 13,500,000 shares of the company’s common stock pursuant to the firm’s automatic shelf registration statement filed with the Securities and Exchange Commission.
The Selling Stockholders intend to grant the underwriters a 30-day option to purchase up to an aggregate of 1,200,000 additional shares of the company’s common stock. The Selling Stockholders will receive all of the net proceeds from this offering. No shares are being sold by the company.
Subject to the completion of the Offering, the Company intends to repurchase from the underwriters 5,500,000 shares of the common stock being sold in the Offering at a price per share equal to the price per share paid by the underwriters to the Selling Stockholders in the Offering.
The Company intends to fund the Share Repurchase with cash on hand. The closing of the Share Repurchase is conditioned on, and expected to occur simultaneously with, the closing of the Offering. The Offering is subject to market and other conditions, and there can be no assurance as to whether or when the Offering may be completed.
Goldman Sachs & Co. LLC and UBS Investment Bank will act as joint lead book-running managers for the Offering. Deutsche Bank Securities, Jefferies, Piper Sandler, RBC Capital Markets, BNP PARIBAS and Stifel will act as book-running managers for the Offering.
Source: Business Wire
