By a News Reporter-Staff News Editor at Investment Weekly News -- Post Holdings, Inc. (NYSE:POST) (the "Company") announced that it has priced its offering of 3,000,000 shares of a newly created series of convertible preferred stock to be designated as its 2.5% Series C Cumulative Perpetual Convertible Preferred Stock (the "Preferred Stock"). The Company also has granted the initial purchasers of the Preferred Stock a 30-day option to purchase up to an additional $45 million (or 450,000 shares) of Preferred Stock. Proceeds net of fees from this offering are expected to be approximately $290.5 million , or approximately $334.0 million if the initial purchasers exercise their option in full. The Company intends to use the net proceeds from the offering for general corporate purposes, which may include, among other things, financing the pending acquisitions and any additional acquisition opportunities, working capital and capital expenditures. The offering is expected to close on December 16, 2013 , subject to customary closing conditions. Dividends will be payable on the Preferred Stock when, as, and if, declared by the Company's Board of Directors on a cumulative basis quarterly in arrears on February 15 , May 15 , August 15 and November 15 of each year, beginning on February 15, 2014 at a rate of 2.5% per year on the liquidation preference of $100 per share. The holders of the Preferred Stock will have the right at any time to convert each share of Preferred Stock into shares of the Company's common stock at an initial conversion rate of 1.8477 shares of the Company's common stock, which represents an initial conversion price of approximately $54.12 per share of common stock, plus cash in lieu of any fractional shares. The conversion rate, and thus the conversion price, will be subject to adjustment under certain circumstances. On or after February 15, 2019 , the Company will have the right under certain circumstances to redeem some or all of the Preferred Stock. Keywords for this news article include: Post Holdings Inc , Investment and Finance. Our reports deliver fact-based news of research and discoveries from around the world. Copyright 2013, NewsRx LLC
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