Diebold, Incorporated (NYSE: DBD) today announced it has successfully completed the private placement of $300 million in staggered maturity notes with institutional investors.
The financing is comprised of senior notes with 7, 10 and 12-year maturities and has an effective weighted-average interest rate of 5.36 percent. This fixed-rate financing allows Diebold to take advantage of attractive long-term interest rates and provide funding flexibility for potential acquisitions, share repurchases and other opportunities.
"I am very pleased with the favorable interest rate generated in this private placement, which resulted in an oversubscription from the original plan of $225 million to $275 million," said Kevin J. Krakora, vice president and chief financial officer. "Given the attractive long-term rates offered and the level of funds available, the company ultimately elected to secure $300 million in long-term financing. I believe the success of this issuance is a testament to the company's financial strength and future growth prospects."