A day after Moody's Investors Service cut Navistar International Corp.’s debt rating to junk status, the company said it plans to sell $300-million of its five-year senior notes to help pay expenses and debt.
The company said it will sell the securities through a Rule 144A offering, which lets businesses raise funds with the sale of unregistered securities to institutional investors. Navistar plans to use proceeds to pay to develop products, the company said in a statement.
Navistar said the securities offered will not be or have not been registered under the Securities Act of 1933 and may not be offered or sold in the U.S. absent registration or an applicable exemption from registration requirements.
