INDIANAPOLIS, Sept. 21, 2017 /PRNewswire/ -- Allison
Transmission Holdings Inc. (NYSE: ALSN) ("Allison" or the
"Company") today announced that its wholly owned subsidiary,
Allison Transmission, Inc. (the "Issuer"), commenced an offering of
$300 million in aggregate principal
amount of senior unsecured notes due 2027 (the "Notes") in a
private placement exempt from registration under the Securities Act
of 1933, as amended (the "Securities Act"), subject to market
conditions.
The Notes will be guaranteed by each of the Issuer's existing
and future domestic subsidiaries that is a borrower under or that
guarantees obligations under the Issuer's senior secured credit
facility, subject to certain exceptions. On the issue date,
it is expected that none of the Issuer's domestic subsidiaries will
guarantee its obligations under the Issuer's senior secured credit
facility, and therefore none of the Issuer's domestic subsidiaries
will initially guarantee the Notes. The Issuer intends to use the
net proceeds from the offering for general corporate purposes and
to pay related transaction fees and expenses.
The Notes will be offered in a private placement to qualified
institutional buyers pursuant to Rule 144A under the Securities
Act, and to certain non-U.S. persons in transactions outside of
the United States in reliance on
Regulation S under the Securities Act. The Notes will not be
registered under the Securities Act or the securities laws of any
state or jurisdiction, and may not be offered or sold in
the United States absent
registration or an applicable exemption from the registration
requirements.
This press release shall not constitute an offer to sell or the
solicitation of an offer to purchase the Notes, nor shall there be
any sale of the Notes in any state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such
jurisdiction.
About Allison Transmission
Allison Transmission (NYSE: ALSN) is the world's largest
manufacturer of fully automatic transmissions for medium- and
heavy-duty commercial vehicles and is a leader in hybrid-propulsion
systems for city buses. Allison transmissions are used in a variety
of applications including refuse, construction, fire, distribution,
bus, motorhomes, defense and energy. Founded in 1915, the company
is headquartered in Indianapolis,
Indiana, USA and employs approximately 2,600 people
worldwide. With a market presence in more than 80 countries,
Allison has regional headquarters in the
Netherlands, China and
Brazil with manufacturing
facilities in the U.S., Hungary
and India. Allison also has
approximately 1,400 independent distributor and dealer locations
worldwide.
Forward-Looking Statements
This press release
contains forward-looking statements. All statements other than
statements of historical fact contained in this press release are
forward-looking statements, including all statements regarding the
offering of the Notes. In some cases, you can identify
forward-looking statements by terminology such as "may," "will,"
"should," "expect," "plans," "project," "anticipate," "believe,"
"estimate," "predict," "intend," "forecast," "could," "potential,"
"continue" or the negative of these terms or other similar terms or
phrases. Forward-looking statements are not guarantees of future
performance and involve known and unknown risks. Factors which may
cause the actual results to differ materially from those
anticipated at the time the forward-looking statements are made
include, but are not limited to: risks related to our substantial
indebtedness; uncertainty in the global regulatory and business
environments in which we operate; our participation in markets that
are competitive; the highly cyclical industries in which certain of
our end users operate; the failure of markets outside North America to increase adoption of
fully-automatic transmissions; the concentration of our net sales
in our top five customers and the loss of any one of these; future
reductions or changes in government subsidies for hybrid vehicles
and other external factors impacting demand; U.S. defense spending;
general economic and industry conditions; the discovery of defects
in our products, resulting in delays in new model launches, recall
campaigns and/or increased warranty costs and reduction in future
sales or damage to our brand and reputation; our ability to prepare
for, respond to and successfully achieve our objectives relating to
technological and market developments, competitive threats and
changing customer needs; risks associated with our international
operations; labor strikes, work stoppages or similar labor
disputes, which could significantly disrupt our operations or those
of our principal customers; our intention to pay dividends and
repurchase shares of our common stock and other risks and
uncertainties associated with our business described in our Annual
Report on Form 10-K, Quarterly Reports on Form 10-Q and Current
Reports on Form 8-K. Although we believe the expectations reflected
in such forward-looking statements are based upon reasonable
assumptions, we can give no assurance that the expectations will be
attained or that any deviation will not be material. All
information is as of the date of this press release, and we
undertake no obligation to update any forward-looking statement to
conform the statement to actual results or changes in
expectations.
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SOURCE Allison Transmission Holdings Inc.