Goodyear stock offering brings in $834 million
Goodyear Tire & Rubber Co. has closed its public offering of more than 26 million shares of its common stock at $33 per share, including the offering's over-allotment option, for proceeds of $834 million.
Goodyear intends to use the net proceeds from the offering to redeem
approximately $175 million in principal amount of its outstanding 8.625% senior notes due in 2011, and approximately $140 million in principal amount of its outstanding 9% senior notes due in 2015.
The Akron, Ohio-based company expects to use the remaining net proceeds of the offering "for general corporate purposes, which may include, among other things, investments in growth initiatives within the company's core tire businesses and the repayment of additional debt."
Deutsche Bank Securities, Citi and Goldman, Sachs & Co. served as joint book-running managers of the offering.