Radian Announces Concurrent Offerings of Common Stock and Senior Notes
PHILADELPHIA--(BUSINESS WIRE)--May 6, 2014--
Radian Group Inc. (NYSE: RDN) announced today that it has commenced
separate underwritten public offerings of (1) 15,500,000 shares of its
common stock (the “Common Stock Offering”) and (2) $200 million
aggregate principal amount of its senior unsecured notes due 2019 (the
“Notes Offering” and, collectively with the Common Stock Offering, the
“Offerings”). Goldman, Sachs & Co. is acting as book-running manager for
the Offerings. The underwriters will have the option to purchase up to
an additional 2,325,000 shares of common stock within 30 days of the
pricing of the Common Stock Offering. The public offering price of
Radian Group’s common stock and the interest rate and other terms of the
senior notes will be determined, based on market conditions, at the time
of the pricing of the Offerings. The Offerings are subject to market
conditions, and there can be no assurance as to whether the Offerings
will be completed or as to the actual size or terms of the Offerings.
The Company intends to use the net proceeds from the Offerings to fund
the purchase price and related expenses of its pending acquisition of
Clayton Holdings LLC, to fund the early redemption of Radian Group’s
5.375% Senior Notes due June 2015 and for working capital.
Neither the Common Stock Offering nor the Notes Offering will be
contingent on the completion of the other offering or on the completion
of the Clayton acquisition.
The Offerings are being conducted as separate public offerings pursuant
to an effective registration statement (including a base prospectus)
under the Securities Act of 1933, as amended. Before making an
investment, potential investors should first read the prospectus
supplement and accompanying prospectus, the registration statement and
the other documents that Radian Group filed or will file with the
Securities and Exchange Commission in connection with the applicable
Offering. A copy of the preliminary prospectus supplement and the
accompanying prospectus for each of the Common Stock Offering and the
Notes Offering has been filed with the SEC and is available for free on
the SEC’s website, www.sec.gov.
Alternatively, copies may be obtained from Goldman, Sachs & Co., Attn:
Prospectus Department, 200 West Street, New York, NY 10282, by calling
(866) 471-2526 or by emailing prospectus-ny@ny.email.gs.com.
This press release is for informational purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy any
security of the Company, nor will there be any sale of any such security
in any jurisdiction in which such offer, sale or solicitation would be
unlawful. Each of the Offerings may be made only by means of a
prospectus supplement and accompanying base prospectus.
ABOUT RADIAN
Radian Group Inc. (NYSE: RDN), headquartered in Philadelphia, provides
private mortgage insurance and related risk mitigation products and
services to mortgage lenders nationwide through its principal operating
subsidiary, Radian Guaranty Inc. These services help promote and
preserve homeownership opportunities for homebuyers, while protecting
lenders from default-related losses on residential first mortgages and
facilitating the sale of low-downpayment mortgages in the secondary
market. Additional information may be found at www.radian.com.
Source: Radian Group Inc.
Radian Group Inc.
Emily Riley, 215-231-1035
emily.riley@radian.com
