CONSOL Energy Inc. (NYSE: CNX) will offer and sell, to eligible purchasers, $1.6 billion of senior notes due 2022, the company said April 7.
The notes will be guaranteed by nearly all of CONSOL Energy’s wholly-owned domestic restricted subsidiaries, the company added.
Net proceeds will be used to buy back all outstanding 8% senior notes due 2017 pursuant to an April 2 tender offer and consent solicitation, CONSOL Energy said.
Any remaining proceeds would repay other debts, the company noted, adding that any notes not purchased under the tender offer will be redeemed, and that a portion of the proceeds would refinance the redemption.
The 8% notes have an aggregate principal amount of $1.5 billion, the company added.
Pittsburgh-based CONSOL Energy Inc. explores, develops and produces natural gas and coal in the Appalachian Basin.