US: Smithfield announces common stock offering

By: just-food.com | 15 September 2009

US meat group Smithfield Foods has commenced an underwritten registered public offering of US$250m of shares of its common stock.

The company said it intends to grant the underwriters a 30-day option to purchase up to an additional 15% of the offered amount of common stock to cover over-allotments, if any.

Morgan Stanley, Goldman, Sachs & Co., Barclays Capital, and JP Morgan are the joint book-running managers of the offering.

The company said it intends to use the net proceeds from the offering for working capital and general corporate purposes, with a goal of continuing to strengthen its balance sheet, which may include the retirement of debt.

The offering is being made pursuant to an automatic shelf registration statement filed with the Securities and Exchange Commission on 14 June 2007.

Sectors: Meat & poultry, Seafood

Companies: Smithfield Foods