Build NYC to Sell $96 Million Revenue Debt for Pratt Mill
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According to a report this past week by BloombergBusinessweek, New York, N.Y., USA, Build NYC Resource Corp., New York, which promotes economic development in the city, plans to sell about $96 million of revenue debt for a unit of Pratt Industries, with proceeds going to refinance bonds and buy equipment. The Pratt Paper Inc. New York facility will use some funds from this past week’s offer of unrated municipal securities to acquire machinery to convert wastepaper into paperboard recycled products.
"Local manufacturers and businesses like Pratt Paper are bedrocks of their communities and of the city’s economy," Jeff Lee, executive director of Build NYC, said.
A year ago, Valparaiso, Indiana, sold $200 million of revenue debt on behalf of Pratt Industries to finance a paper-recycling plant there. The unrated deal included bonds maturing in January 2024.
The Pratt plant on Staten Island, which began operating in 1997, is one of three similar facilities built by the subsidiary of Conyers, Ga.-based Pratt Holdings Inc. Valparaiso, which would be the fourth, is set to open in 2015.
Pratt Industries is the sixth-largest manufacturer of corrugated packaging, with facilities in 23 states and Mexico.
