PureCycle Technologies, a producer of recycled polypropylene resin, has announced the upsize and pricing of its private offering of USD 215 million in aggregate principal amount at maturity of 7.25% green convertible senior notes due 2030. The issuance and sale of the notes are scheduled to settle on August 24, 2023.

PureCycle estimates that the net proceeds from the sale of the notes, excluding offering expenses, will be approximately USD 188.8 million. The company intends to use the net proceeds to finance and refinance eligible green projects in the US. Specifically, the funds will be used to pay for key long-lead items and support the initial engineering design for a multi-line wastewater treatment facility in Augusta, Georgia. The remainder of the net proceeds will be used for general corporate purposes.

PureCycle Technologies has also granted the initial purchaser of the notes the right to purchase up to an additional USD 35 million aggregate principal amount of the notes, which may be exercised within a 13-day window from the date of the initial issuance of the notes. Each USD 1,000 principal amount of the notes will be priced at USD 900, with the difference increasing from the original issue date until August 15, 2027.