Innophos Announces Launch of $300 Million Offering of Senior Notes

CRANBURY, N.J., Jan. 28, 2020 /PRNewswire/ -- In connection with the proposed acquisition (the "Acquisition") of Innophos Holdings, Inc. ("Innophos") by certain investment funds managed by One Rock Capital Partners, LLC ("One Rock"), Iris Merger Sub 2019, Inc. ("Merger Sub") and Innophos announced today that Merger Sub intends to commence a private offering (the "Offering") of $300 million in aggregate principal amount of senior unsecured notes due 2028 (the "Notes"). The Offering is part of the financing for the Acquisition, and there can be no assurance that the Acquisition or the Offering will be completed.

Merger Sub intends to use the net proceeds of the Offering, together with cash on hand at Innophos, an equity contribution from a One Rock-managed fund and certain co-investors, and borrowings under a new seven-year senior secured term loan facility, to pay the cash consideration in connection with the Acquisition, repay Innophos' existing indebtedness, fund cash to Innophos' balance sheet, and pay related fees and expenses.

The Notes will be offered in a private offering exempt from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act"). The Notes will be offered only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A and to certain persons outside the United States pursuant to Regulation S, each under the Securities Act. The Notes have not been and will not be registered under the Securities Act or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and the rules promulgated thereunder.

This press release is neither an offer to sell nor a solicitation of an offer to buy the Notes or any other securities and shall not constitute an offer to sell or a solicitation of an offer to buy, or a sale of, the Notes or any other securities in any jurisdiction in which such offer, solicitation or sale is unlawful.

About Innophos

Innophos is a leading international producer of essential ingredients. We partner with world-leading health & nutrition, food & beverage and industrial brands to create science-based solutions that improve quality of life. Our knowledgeable teams apply science to unlock the potential that lies within the blends and formulations that we deliver. Forward-thinking and people-centric at heart, we execute with purpose and efficiency to create value in everything we do. Headquartered in Cranbury, New Jersey, Innophos has manufacturing operations across the United States, in Canada, Mexico and China.

About One Rock Capital Partners, LLC

One Rock makes controlling investments in companies with potential for growth and operational improvement using a rigorous approach that utilizes highly experienced Operating Partners to identify, acquire and enhance businesses in select industries. The involvement of these Operating Partners affords One Rock the ability to conduct due diligence and consummate acquisitions and investments in all types of situations, regardless of complexity. One Rock works collaboratively with company management and its Operating Partners to develop a comprehensive business plan focused on growing the enterprise and its profitability to enhance long-term value. For more information, visit www.onerockcapital.com.

Forward-Looking Statements 

This news release includes statements that are forward-looking statements made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, including statements regarding the closing of the proposed Acquisition, the Offering and the use of proceeds therefrom and any other statements regarding Innophos' future expectations, beliefs, plans, objectives, financial conditions, assumptions or future events or performance that are not historical facts. The words "anticipate," "believe," "ensure," "expect," "if," "intend," "estimate," "probable," "project," "forecasts," "predict," "outlook," "aim," "will," "could," "should," "would," "potential," "may," "might," "anticipate," "likely," "plan," "positioned," "strategy," and similar expressions or other words of similar meaning, and the negatives thereof, are intended to identify forward-looking statements. This information may involve risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to: the timing to consummate the proposed Acquisition; satisfaction of the conditions to closing of the proposed Acquisition; and the diversion of management's time by transaction-related issues. One Rock, Merger Sub and Innophos caution against putting undue reliance on forward-looking statements or projecting any future results based on such statements. Forward-looking statements speak only as of the date of the particular statement, and none of One Rock, Merger Sub or Innophos undertake to update any forward-looking statements contained herein.

SOURCE Innophos Holdings, Inc.