H&E Equipment Services, Inc. Announces Closing of Add-On Senior Notes Offering
H&E Equipment Services, Inc. (NASDAQ: HEES) (the “Company”) today announced the closing of an offering of $200 million
in aggregate principal amount of 5.625% senior notes due 2025 (the “New Notes”) in a private placement (the “Offering”). The New
Notes are senior unsecured obligations of the Company and are guaranteed by the Company’s current and future significant domestic
restricted subsidiaries.
The New Notes were issued as additional notes under an indenture dated as of August 24, 2017 pursuant to which the Company
previously issued $750,000,000 in aggregate principal amount of its 5.625% senior notes due 2025 (the “Existing Notes”). The New
Notes have identical terms to the Existing Notes, other than the issue date and the issue price, and form a part of a single class
of notes with the Existing Notes for all purposes under the indenture.
The net proceeds of the Offering of the New Notes, after deducting estimated discounts and offering expenses, were approximately
$205.5 million, which will be used to repay indebtedness outstanding under the Company’s existing ABL credit facility, to fund
potential acquisitions in connection with its ongoing strategy of acquiring rental companies to complement its existing business
and footprint, for general corporate purposes and to pay fees and expenses in connection with the Offering.
The New Notes and related guarantees were 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 New 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 thereunder.
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 plans to repay certain indebtedness (including the terms and success of such
repayment), the use of proceeds of the offering and 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.
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
View source version on businesswire.com: http://www.businesswire.com/news/home/20171122005334/en/