MOSCOW (MRC) -- Trinseo says that private equity firm Bain Capital (Boston) will sell 9.6 million shares in the company in a secondary public offering, cutting its stake in Trinseo to 58.6%, from 76.4%, said Businesswire.
The exact timing of the stock offering has not been determined, and Trinseo itself will not receive any proceeds from the sale, all of which will go to Bain. Bain purchased Trinseo, formerly Styron, from Dow Chemical for USD1.63 billion in 2010, and sold a minority stake in the company in a USD190-million initial public offering (IPO) in 2014.
Concurrently with and subject to the completion of the offering, the Company has agreed to repurchase from the Underwriter 1,600,000 of the ordinary shares that are being sold by the Selling Shareholder in the offering at a price per-share equal to the price per-share to be paid by the Underwriter to the Selling Shareholder. Because a repurchase transaction will be completed as part of the offering, in order to satisfy certain requirements of Luxembourg law, promptly following the completion of the offering, the Company intends to commence a tender offer to offer to purchase up to an additional 1,075,000 shares from its shareholders (other than the Selling Shareholder) at the same price per share that it paid to the Underwriter for the shares repurchased as part of this offering. The Company intends to fund the share repurchases with cash on hand.
A shelf registration statement (including a prospectus) relating to the offering of ordinary shares was filed with the SEC on March 15, 2016 and became effective on March 18, 2016. Before you invest, you should read the prospectus included in that registration statement and the documents incorporated by reference in that registration statement as well as the prospectus supplement related to this offering.
As MRC informed earlier, Styron, the global materials company and manufacturer of plastics, latex and rubber, has announced it has changed its name to Trinseo, effective February 1, 2015.
Trinseo is a leading global materials company and manufacturer of plastics, latex and rubber, dedicated to collaborating with customers to deliver innovative and sustainable solutions. Trinseo’s technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires.
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