Stanley Black & Decker Plans Offering Of 3 Mln Equity Units

(RTTNews) - Stanley Black & Decker, Inc. (SWK) said Monday that it plans to offer to sell 3 million equity units.

The company expects the units will initially consist of $300 million aggregate principal amount of junior subordinated notes due 2018 and contracts to purchase, for an aggregate of $300 million, shares of common stock. The company expects to grant to the underwriters an option to purchase additional units to cover over-allotments.

The common stock is expected to be delivered upon settlement of the purchase contracts in November 2016.

The company said it plans to use the net proceeds from the offering for general corporate purposes, including repayment of short term borrowings. The company also plans to use a portion of the net proceeds of the offering to purchase options on its common stock from counterparties, which may include certain of the underwriters and their affiliates.

The company is also concurrently offering $400 million aggregate principal amount of fixed-to-floating rate junior subordinated debentures due 2053.

The completion of the concurrent debentures offering is not subject to the completion of the offering of equity units and the completion of the offering of equity units is not subject to the completion of the concurrent debentures offering.