Contact Information: For more information regarding Imperial Capital or this transaction, please contact: Press: Anna Halloran Jacob Imperial Capital, LLC (310) 246-3675 ahalloranjacob@imperialcapital.com
Imperial Capital Closes $200 Million Convertible Subordinated Debenture Offering for GenCorp Inc.
| Source: Imperial Capital
LOS ANGELES, CA--(Marketwire - January 5, 2010) - Imperial Capital announced today
the closing of a $200 million convertible subordinated debentures offering
for GenCorp Inc. ("GenCorp" or the "Company") (NYSE : GY ), a leading
technology-based manufacturer of aerospace and defense products and systems. The Company sold $200
million of 4.0625% Convertible Subordinated Debentures due 2039 in a
private placement to qualified institutional buyers pursuant to Rule 144A
under the Securities Act of 1933, as amended (the "Securities Act"). This
amount includes the full exercise of the option to purchase an additional
$50 million aggregate principal amount of debentures that GenCorp granted
to the initial purchasers of the debentures solely to cover
over-allotments, if any. Imperial Capital, LLC acted as co-manager with
Morgan Stanley as lead book-running manager and Lazard Capital Markets also
as
co-manager.
"This transaction demonstrates the depth of Imperial Capital's capital
markets and sales and trading platform," said Jason Reese,
Chairman and Chief Executive Officer of Imperial Capital. Chris Shepard, Executive Vice President, Co-Head of Investment
Banking and Head of Capital Markets at Imperial Capital, added, "We can
efficiently and effectively raise capital across the entire corporate
capital structure through our sophisticated institutional sales and trading
team, which covers over 1,200 institutional accounts."
The debentures may be converted into shares of GenCorp common stock
initially at a conversion rate of 111.0926 shares of common stock per
$1,000 principal amount of debentures (equivalent to a conversion price of
approximately $9.00 per share of common stock). GenCorp intends to use the
net proceeds from the offering to refinance all or a portion of its 4%
Contingent Convertible Subordinated Notes due 2024 and a portion of its 9
1/2% Senior Subordinated Notes due 2013.
The debentures and the shares of GenCorp's common stock issuable upon
conversion of the debentures have not been registered under the Securities
Act, or any state securities laws, and unless so registered, may not be
offered or sold except pursuant to an exemption from, or in a transaction
not subject to, the registration requirements of the Securities Act and
applicable state securities laws. This press release does not constitute an
offer to sell or the solicitation of an offer to buy any security and shall
not constitute an offer, solicitation or sale in any jurisdiction in which
such offering would be unlawful.
About GenCorp Inc.
GenCorp is a leading technology-based manufacturer of aerospace and defense
products and systems with a real estate segment that includes activities
related to the entitlement, sale and leasing of the Company's excess real
estate assets. Additional information about the Company can be obtained by
visiting the Company's web site at http://www.GenCorp.com.
About Imperial Capital, LLC
Imperial Capital, founded in 1997, is a
full-service investment banking firm with offices in Los Angeles, New
York, San Francisco, Boston, Houston and Minneapolis. The firm currently
employs over 170 professionals and offers a wide range of proprietary
products and services to institutional investors, middle market companies,
and private equity firms. Imperial Capital provides institutional clients
research and sales and trading of high yield and distressed debt
securities, bank debt, convertible bonds, preferred stocks, and equities.
The firm provides middle market companies and financial sponsors with
capital markets, merger and acquisitions, capital structure, restructuring
and recapitalization advisory services. More information about Imperial
Capital can be found at www.imperialcapital.com.