Jeld-Wen shrinks bond issue, offers higher interest rates

Jeld-Wen Inc. plans to trim a junk bond issue and offer higher interest rates in order to attract more investors.

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Jeld-Wen Inc. plans to trim a junk bond issue and offer higher interest rates in order to attract more investors.

The Klamath Falls-based company, Oregon’s largest privately owned business, intends to offer $450 million in bonds instead of the $575 million originally planned, the sources say. Jeld-Wen, under pressure from banks for violating loan terms, must get the bonds sold to qualify for a rescue by Onex Corp., a Canadian private-equity firm. 

Traders are discussing interest rates in the 12 percent to 13 percent range, said the sources, who requested their names be withheld to avoid violating their companies’ confidentiality policies. These rates represent a significant jump from the original 9.5 percent to 9.75 percent levels reported by New York financial tracker Debtwire.

Read more at OregonLive.com.

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