Graphic Packaging Holding Co Announces Commencement Of Secondary Common Stock Offering By Selling Stockholders And $300 Million Repurchase Of Common Stock

Monday, 10 Dec 2012 05:00pm EST 

Graphic Packaging Holding Co announced an underwritten secondary public offering of 16,500,000 shares of its common stock by certain of its existing stockholders. The selling stockholders intend to grant the underwriters an option for 30 days to purchase up to an additional 2,475,000 shares of common stock to cover overallotments. The Company will not sell any shares or receive any proceeds from the offering and the total number of shares of its outstanding common stock will not change as a result of the offering. Goldman, Sachs & Co., BofA Merrill Lynch, J.P. Morgan, Citigroup, and Deutsche Bank Securities are serving as joint book running managers for the offering and Baird and Oppenheimer & Co. are serving as co-managers. In addition, the Company announced that it has agreed with the selling stockholders to repurchase up to $300 million of its common stock directly from the selling stockholders concurrently with the closing of the offering. The share repurchase will be effected in a private transaction at a price per share equal to the price per share being paid by the underwriters to the selling stockholders in the offering. The Company intends to fund the share repurchase with an incremental term loan borrowing under an amendment to its existing credit agreement. The closing of the share repurchase is contingent on the closing of the offering, the funding of the incremental term loan and the execution of a related amendment to the Company's existing credit agreement. 

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