Verso to Acquire NewPage for $1.4 Billion
Terms of the Transaction
Under the terms of the transaction, NewPage's equity holders will receive total cash and debt consideration of $900 million, consisting of $250 million in cash, most of which will be paid to the stockholders as a special dividend prior to closing and the remainder of which will be paid at closing, and $650 million of new Verso first lien notes to be issued at closing. NewPage's equity holders also will receive shares of Verso common stock representing 20 percent (subject to potential adjustment up to 25 percent under certain circumstances) of the outstanding shares as of immediately prior to closing. Certain of NewPage's stockholders owning a majority of the outstanding shares of NewPage common stock have agreed to vote its shares in favor of the approval of the transaction.
- Companies:
- NewPage Corporation
- People:
- David J. Paterson