BATON ROUGE, La.--(BUSINESS WIRE)--Aug. 18, 2017--
H&E Equipment Services, Inc. (NASDAQ: HEES) (the “Company”) today
announced the pricing of $750,000,000 aggregate principal amount of its
senior notes due 2025 (the “Notes”) in an unregistered offering (the
“Offering”). The Notes will pay interest semi-annually at a rate of
5.625% per annum. The Notes will be senior unsecured obligations of the
Company and will be guaranteed by certain of its domestic restricted
subsidiaries. The Offering is expected to close on August 24, 2017,
subject to the satisfaction of customary closing conditions.
The Company expects to use the net proceeds of the Notes to pay the
consideration payable to purchase our existing 7% senior notes due 2022
(the “Existing Notes”) tendered and accepted for purchase in the tender
offer commenced for the Existing Notes today or otherwise redeem,
repurchase or discharge the Existing Notes, to pay fees and expenses
incurred in connection with the foregoing and the Offering and to repay
a portion of the amounts outstanding under our existing ABL credit
facility.
The Notes and related guarantees are being offered in a private
placement, solely to qualified institutional buyers in reliance on
Rule 144A under the Securities Act of 1933, as amended (the “Securities
Act”), or outside the United States to persons other than “U.S. persons”
in compliance with Regulation S under the Securities Act. The Notes and
related guarantees have not been registered under the Securities Act or
the securities laws of any other jurisdiction and may not be offered or
sold in the United States absent registration or an applicable exemption
from the registration requirements.
This press release is neither an offer to sell, nor a solicitation of an
offer to buy, any securities and shall not constitute an offer,
solicitation or sale in any jurisdiction in which such offer,
solicitation or sale is unlawful. The securities described herein have
not been and will not be registered under the Securities Act of 1933, as
amended (the “Securities Act”), or any state securities laws, and unless
so registered, may not be offered or sold in the United States except
pursuant to an exemption from the registration requirements of the
Securities Act, and applicable state securities laws.
About H&E Equipment Services, Inc.
The Company is one of the largest integrated equipment services
companies in the United States with 79 full-service facilities
throughout the West Coast, Intermountain, Southwest, Gulf Coast,
Mid-Atlantic and Southeast regions. The Company is focused on heavy
construction and industrial equipment and rents, sells and provides
parts and services support for four core categories of specialized
equipment: (1) hi-lift or aerial platform equipment; (2) cranes;
(3) earthmoving equipment; and (4) industrial lift trucks. By providing
equipment rental, sales, on-site parts, repair and maintenance functions
under one roof, the Company is a one-stop provider for its customers’
varied equipment needs. This full service approach provides the Company
with multiple points of customer contact, enabling it to maintain a high
quality rental fleet, as well as an effective distribution channel for
fleet disposal and provides cross-selling opportunities among its new
and used equipment sales, rental, parts sales and services operations.
Forward-Looking Statements
Statements contained in this press release that are not historical
facts, including statements about H&E’s beliefs and expectations, are
“forward-looking statements” within the meaning of the federal
securities laws. Statements that are not historical facts, including
statements about our beliefs and expectations are forward-looking
statements. Statements containing the words “may,” “could,” “would,”
“should,” “believe”, “expect,” “anticipate,” “plan,” “estimate,”
“target,” “project,” “intend,” “foresee” and similar expressions
constitute forward-looking statements. Forward-looking statements
involve known and unknown risks and uncertainties, which could cause
actual results to differ materially from those contained in any
forward-looking statement. Such factors include, but are not limited to,
the following: (1) possible completion of the offering and tender offer,
the prospective impact of a note offering or tender offer, plans to
repay certain indebtedness (including the terms and success of such
repayment) and the use of proceeds of the offering; (2) general economic
conditions and construction and industrial activity in the markets where
we operate in North America; (3) our ability to forecast trends in our
business accurately, and the impact of economic downturns and economic
uncertainty in the markets we serve; (4) the impact of conditions in the
global credit and commodity markets and their effect on construction
spending and the economy in general; (5) relationships with equipment
suppliers; (6) increased maintenance and repair costs as we age our
fleet and decreases in our equipment’s residual value; (7) our
indebtedness; (8) risks associated with the expansion of our business
and any potential acquisitions we may make, including any related
capital expenditures; (9) our possible inability to integrate any
businesses we acquire; (10) competitive pressures; (11) security
breaches and other disruptions in our information technology systems;
(12) adverse weather events or natural disasters; (13) compliance with
laws and regulations, including those relating to environmental matters
and corporate governance matters; and (14) other factors discussed in
our public filings, including the risk factors included in the Company’s
most recent Annual Report on Form 10-K. Investors, potential investors
and other readers are urged to consider these factors carefully in
evaluating the forward-looking statements and are cautioned not to place
undue reliance on such forward-looking statements. Except as required by
applicable law, including the securities laws of the United States and
the rules and regulations of the Securities and Exchange Commission, we
are under no obligation to publicly update or revise any forward-looking
statements after the date of this release. These statements are based on
the current beliefs and assumptions of H&E’s management, which in turn
are based on currently available information and important, underlying
assumptions. H&E is under no obligation to publicly update or revise any
forward-looking statements after this press release, whether as a result
of any new information, future events or otherwise. Investors, potential
investors, security holders and other readers are urged to consider the
above mentioned factors carefully in evaluating the forward-looking
statements and are cautioned not to place undue reliance on such
forward-looking statements.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170818005070/en/
Source: H&E Equipment Services, Inc.
H&E Equipment Services, Inc.
Leslie S. Magee, 225-298-5261
Chief
Financial Officer
lmagee@he-equipment.com
or
Kevin
S. Inda, 225-298-5318
Vice President of Investor Relations
kinda@he-equipment.com
