Vermont Business Magazine Casella Waste Systems, Inc (NASDAQ:CWST), a regional solid waste, recycling and resource management services company, today announced an offering of up to $25.0 million aggregate principal amount of Vermont Economic Development Authority Solid Waste Disposal Revenue Bonds Series 2022A-2 under an indenture between the Issuer and the bond trustee, dated as of June 1, 2022. The Bonds represent the drawdown (which would no longer be available to the Company if not occurring by June 1, 2025) of the remainder of the Vermont Economic Development Authority Solid Waste Disposal Revenue Bonds Series 2022, the initial proceeds of which, in the amount of $35.0 million, were loaned to the Company in June 2022.
The Bonds will be guaranteed under a guaranty by all or substantially all of Casella’s subsidiaries, as required by the terms of the loan agreement, dated as of June 1, 2022, between the Issuer and Casella, pursuant to which the Issuer will loan the proceeds of the Bonds to Casella. Casella intends to use the net proceeds of the Bonds to finance and/or reimburse Casella for certain costs of certain capital projects in the State of Vermont.
The exact terms and timing of the offering of the Bonds will depend upon market conditions and other factors. There can be no assurance that all approvals with respect to the Bonds will be received, that all other conditions to the issuance of the Bonds will be satisfied or that the offering will be completed.
The Bonds will not be a general obligation of the Issuer and will not constitute indebtedness of or a charge against the general credit of the Issuer. The Bonds will not be a debt of the State of Vermont or any political subdivision of the State of Vermont, and will be payable solely from any remarketing proceeds and from amounts received from Casella under the terms of the Loan Agreement and from the Guarantors under the Guaranty.
The Bonds will be offered only to qualified institutional buyers as defined in Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”).
The Bonds have not been and will not be registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and other applicable securities laws.
Source: RUTLAND, Vt., Feb. 28, 2025 (GLOBE NEWSWIRE) -- Casella Waste Systems, Inc
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