FAIRLAWN, Ohio, Oct. 22 /PRNewswire-FirstCall/ -- OMNOVA Solutions Inc. today announced the pricing of $250 million aggregate principal amount of 7.875% senior notes due 2018 in an offering exempt from the registration requirements of the Securities Act of 1933. The Company intends to use the net proceeds from the offering, together with a new term loan of approximately $200 million, to fund the purchase price for the Company's proposed acquisition of Eliokem International SAS, repay or replace all amounts outstanding under the Company's existing term loan, and pay related fees and expenses. The Company expects to close the offering on November 3, 2010, subject to customary closing conditions. The net proceeds from the offering, together with an amount sufficient to redeem the notes, will be held in escrow until the consummation of the acquisition of Eliokem. If the acquisition of Eliokem is not consummated for any reason by January 31, 2011, the Company will redeem the senior notes.
The senior notes to be offered have not been and will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or a solicitation of an offer to buy such notes and is issued pursuant to Rule 135c under the Securities Act of 1933.
OMNOVA Solutions Inc. is a technology-based company with last twelve month sales through August 2010 of $827 million and a workforce of approximately 2,300 employees worldwide. OMNOVA is an innovator of emulsion polymers, specialty chemicals, and decorative and functional surfaces for a variety of commercial, industrial and residential end uses. Visit OMNOVA Solutions on the internet at http://www.omnova.com/.
OMNOVA Solutions Inc.
CONTACT: Sandi Noah, Communications, +1-330-869-4292; Michael Hicks,
Investor Relations, +1-330-869-4411
Web Site: http://www.omnova.com/
