DALLAS, Oct. 26 /PRNewswire-FirstCall/ -- Alon USA Energy, Inc. (NYSE: ALJ) (the "Company") announced today that it has priced a registered direct offering of up to 6,000,000 shares of the Company's 8.5% Series A Convertible Preferred Stock (the "Preferred Stock") at $10 per share. Each share of the Preferred Stock has a liquidation preference of $10 per share and is convertible, at a holder's option, initially into 1.484 shares of the Company's common stock based on an initial conversion price of $6.74 per share of the Company's common stock (which represents a 17.5% conversion premium over the closing price of the Company's common stock on October 26, 2010), in each case subject to adjustment pursuant to the Company's Preferred Stock Certificate of Designation. The Company expects delivery of the shares to occur on October 28, 2010.
The offering is being made only by means of a prospectus and related prospectus supplement, copies of which may be obtained from Alon USA Energy, Inc, Attention: Corporate Secretary, 7616 LBJ Freeway, Suite 300, Dallas, Texas 75251 (telephone: 972-367-3600). An electronic copy of the prospectus is available from the Securities and Exchange Commission's Web site at www.sec.gov.
This announcement does not constitute an offer to sell or the solicitation of an offer to buy and there will be no sale of the Preferred Stock in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Alon USA Energy, Inc., headquartered in Dallas, Texas, is an independent refiner and marketer of petroleum products, operating primarily in the South Central, Southwestern and Western regions of the United States. The Company owns four crude oil refineries in Texas, California, Louisiana and Oregon, with an aggregate crude oil throughput capacity of approximately 250,000 barrels per day. Alon is a leading producer of asphalt, which it markets through its asphalt terminals predominately in the Western United States. Alon is the largest 7-Eleven licensee in the United States and operates more than 300 convenience stores in Texas and New Mexico. Alon markets motor fuel products under the FINA brand at these locations and at approximately 610 distributor-serviced locations.
This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements in this press release that are not statements of historical fact are forward-looking statements. Forward-looking statements reflect our current expectations regarding future events, results or outcomes. These statements involve risks and uncertainties that could cause actual results to vary materially from expectations expressed in or indicated by the forward-looking statements, including market conditions. Additional information regarding these and other risks and uncertainties is contained in the prospectus, our Annual Report on Form 10-K for the year ended December 31, 2009, and our subsequent filings with the SEC.
Amir Barash, Vice President - IR
Alon USA Energy, Inc.
Investors: Jack Lascar/Sheila Stuewe
DRG&L / 713-529-6600
Media: Blake Lewis
Lewis Public Relations
SMG Public Relations
SOURCE Alon USA Energy, Inc.