Vermont Business Magazine Casella Waste Systems, Inc. (NASDAQ:CWST), a regional solid waste, recycling and resource management services company, has announced that it has priced the previously announced remarketing of $37.5 million aggregate principal amount of New York State Environmental Facilities Corporation Solid Waste Disposal Revenue Bonds (Casella Waste Systems, Inc. Project) Series 2020R-1 issued on September 2, 2020.
The Bonds were originally issued in the aggregate principal amount of $40.0 million and have a final maturity of September 1, 2050. It is expected that $2.5 million of the aggregate principal amount of Bonds will be redeemed by Casella on September 2, 2025, with cash on hand, and the remaining $37.5 million of the aggregate principal amount of Bonds (the “Remarketed Bonds”) will be remarketed on such date.
Pursuant to the indenture under which the Bonds were offered (the “Indenture”), the interest rate period under which the Bonds were previously issued expires on September 1, 2025, and accordingly, the Bonds are subject to mandatory tender on September 2, 2025. Casella expects that the Bonds will be remarketed on September 2, 2025 at a new interest rate of 4.250% per annum for a new interest rate period commencing on September 2, 2025 and ending on September 2, 2030. The remarketing and redemption are expected to become effective on September 2, 2025.
The Bonds have been, and the Remarketed Bonds will be, guaranteed pursuant to a Guaranty Agreement (the “Guaranty”) by all or substantially all of Casella’s subsidiaries (the “Guarantors”), as required pursuant to the terms of the financing agreement pursuant to which the Issuer loaned the proceeds of the Bonds to Casella.
The Bonds and the Remarketed Bonds are not a general obligation of the Issuer and do not constitute an indebtedness of or a charge against the general credit of the Issuer.
The Bonds and the Remarketed Bonds are not a debt of the State of New York, and are payable solely from amounts received from Casella under the terms of the Indenture and from the Guarantors under the Guaranty.
The Remarketed Bonds are being offered only to qualified institutional buyers as defined in Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The Remarketed 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.
RUTLAND, Vt., Aug. 28, 2025 (GLOBE NEWSWIRE) -- Casella Waste Systems, Inc. http://www.casella.com
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