B&G Foods Completes Senior Secured Notes Tack-On Offering and Credit Agreement Refinancing
On July 12, 2024, B&G Foods successfully concluded its previously announced tack-on offering of 8.000% senior secured notes due 2028 and refinancing of its credit agreement.
Closing of Senior Secured Notes Tack-On Offering
B&G Foods issued an additional $250.0 million aggregate principal amount of 8.000% senior secured notes due 2028. These notes were priced at 100.5% of their face value plus accrued and unpaid interest from March 15, 2024, marking a strategic increase under the existing indenture governing B&G Foods’ initial issuance of similar notes. Following this offering, approximately $799.3 million of these senior secured notes are now outstanding. The proceeds were utilized to partially repay tranche B term loans and revolving credit loans under the senior secured credit agreement, along with associated fees and expenses.
The new senior secured notes benefit from guarantees by select domestic subsidiaries of B&G Foods, securing a first-priority interest in specified collateral. This offering was conducted under exemptions from registration requirements, specifically targeting qualified institutional buyers under Rule 144A and non-U.S. persons under Regulation S of the Securities Act.
Closing of Credit Agreement Refinancing
Simultaneously, B&G Foods completed the refinancing of its senior secured credit agreement, reducing outstanding tranche B term loans from $507.3 million to $450.0 million and extending their maturity to October 10, 2029. This restructuring also involved prepaying $175.0 million of revolving credit loans, reducing the aggregate capacity to $475.0 million and extending the facility’s maturity to December 16, 2028. Interest rates for the new tranche B term loans and revolving credit loans are now tied to alternative benchmarks, offering flexibility based on B&G Foods’ consolidated leverage ratio.
This press release serves informational purposes and does not constitute an offer or solicitation to purchase securities. The new senior secured notes and related guarantees have not been registered under applicable securities laws and may not be offered or sold in the United States absent registration or an applicable exemption.
