QUINCY, Ill. (July 21, 2004) — Titan International Inc. has sold 5.25-percent convertible senior unsecured notes due in 2009 for $100 million, the company said.
The placement of the notes is expected to close about July 26. The initial purchasers have an option to buy up to an additional $15 million principal amount of the notes. The notes are convertible at any time into Titan shares of common stock at an initial conversion rate of 74.0741 shares per $1,000 principal amount of notes.
The net proceeds from the offering will be applied to the outstanding principal amount of the company's 8.75-percent senior subordinated notes due 2007.
“The company is very excited about the institutional investors' extremely positive reception of the notes and the anticipation regarding Titan's growth potential,” said Maurice Taylor, president and CEO. “This transaction will benefit our existing stockholders by enhancing Titan's financial position.”