Alpha Natural Resources, Inc a leading US based coal supplier announced the pricing of its underwritten public offering of USD 500 million aggregate principal amounts of 9.75% senior notes due 2018.

Alpha estimates the net proceeds from the issuance and sale of the Notes, after deducting underwriting discounts and estimated offering expenses, will be approximately USD 479.8 million.

The offering is subject to market and other conditions. Alpha intends to use a portion of the net proceeds to fund the purchase price of up to USD 350 million of the 3.25% Convertible Senior Notes due 2015, pursuant to the previously announced cash tender offer and consent solicitation. Any net proceeds from this offering remaining, including if the Tender Offer and Consent Solicitation is not consummated, are intended to be used for general corporate purposes.

Citigroup, Barclays, JP Morgan, BofA Merrill Lynch and RBS are acting as joint book-running managers in connection with this offering.

Source - Alpha Natural Resources

(www.coalguru.com)