United Rentals Announces Pricing of $400 Million Senior Unsecured Notes
United Rentals, Inc. (NYSE: URI) (“URI”) today announced that its subsidiary, United Rentals (North America), Inc. (“URNA”), has priced an offering of $400 million principal amount of 61/8% senior unsecured notes due 2023 in a registered public offering.
Net proceeds from the sale of the senior notes of URNA, after underwriting discounts and commissions, and the payment of estimated fees and expenses, will be approximately $392 million. URNA's obligations under its senior notes will be guaranteed on a senior basis by URI and certain of URNA's domestic subsidiaries. URNA expects the offering to close on October 30, 2012, subject to customary closing conditions.
URNA intends to use the net proceeds from its offering and additional borrowings under its asset-based revolving credit facility to redeem its 107/8% Senior Notes due 2016 and to pay for call premiums and accrued but unpaid interest to the date of redemption of such notes and to pay related expenses.
BofA Merrill Lynch, Morgan Stanley, Wells Fargo Securities, Barclays, Citigroup and Credit Suisse are the joint book-running managers for the offering, with BofA Merrill Lynch as lead book-running manager.
This news release does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The securities being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the prospectus supplements or the shelf registration statement or prospectus.
URI has filed a registration statement with the U.S. Securities and Exchange Commission (SEC) for the offering to which this communication relates. Before you invest, you should read the prospectus supplement and prospectus in that registration statement and other documents URI has filed or will file with the SEC for more complete information about URI and this offering. You may get these documents for free by visiting EDGAR on the SEC's website at http://www.sec.gov. Alternatively, copies of the final prospectus supplement and accompanying prospectus for the offering may be obtained by contacting BofA Merrill Lynch, Attention: Prospectus Department, 222 Broadway, 11th Floor, New York, NY 10038, 800-294-1322 or email: firstname.lastname@example.org.
About United Rentals
United Rentals, Inc. is the largest equipment rental company in the world, with an integrated network of 848 rental locations in 48 states and 10 Canadian provinces. The company's approximately 11,200 employees serve construction and industrial customers, utilities, municipalities, homeowners and others. The company offers for rent approximately 3,400 classes of equipment with a total original cost of $7.40 billion. United Rentals is a member of the Standard & Poor's MidCap 400 Index and the Russell 3000 Index® and is headquartered in Greenwich, Conn.
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, known as the PSLRA. These statements can generally be identified by the use of forward-looking terminology such as “believe,” “expect,” “may,” “will,” “should,” “seek,” “on-track,” “plan,” “project,” “forecast,” “intend” or “anticipate,” or the negative thereof or comparable terminology, or by discussions of vision, strategy or outlook. These statements are based on current plans, estimates and projections, and, therefore, you should not place undue reliance on them. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Factors that could affect actual results include but are not limited to the possibility that potential debt investors will not be receptive to the offering on the terms described above or at all; corporate developments that could preclude, impair or delay the above-described transactions due to restrictions under the federal securities laws; changes in the terms or availability of our credit facility; changes in our credit rating; changes in our cash requirements or financial position; changes in general market, economic, tax, regulatory or industry conditions that impact our ability or willingness to consummate the above-described transactions on the terms described above or at all; and our continued access to credit markets on favorable terms. For a more complete description of these and other possible risks and uncertainties, please refer to our Annual Report on Form 10-K for the year ended December 31, 2011, as well as to our subsequent filings with the SEC. The forward-looking statements contained herein speak only as of the date hereof, and we make no commitment to update or publicly release any revisions to forward-looking statements in order to reflect new information or subsequent events, circumstances or changes in expectations.
United Rentals, Inc.
Fred Bratman, 203-618-7318