Simpson Thacher recently represented J.P. Morgan Securities Inc. and Banc of America Securities LLC in connection with a public offering by The Ryland Group, Inc. of $300 million aggregate principal amount of its 6.625% Senior Notes due 2020. The notes are guaranteed by substantially all of Ryland’s homebuilding subsidiaries.
The net proceeds from the offering were used to fund the cash tender offer for up to $300 million aggregate principal amount of its outstanding 5.375% Senior Notes due 2012, 6.875% Senior Notes due 2013 and 5.375% Senior Notes due 2015. The remaining net proceeds, if any, will be used to redeem any 5.375% Senior Notes due 2012 that were not tendered in the tender offer. Simpson Thacher also represented J.P. Morgan Securities Inc. in its capacity as dealer manager for the tender offer.
Ryland is one of the nation’s largest homebuilders and mortgage-finance companies. Having operations in 15 states and 19 homebuilding divisions across the United States, Ryland has built more than 285,000 homes and has provided mortgage-financing and related services for more than 240,000 homebuyers.
The Simpson Thacher team for the transaction included Risë Norman, John Lobrano, Grenfel Calheiros, Hui Lin, Sunny Cheong and Brian Price (Capital Markets); Jonathan Cantor and Danny Salinas (Tax); and Andrew Pagliughi (Blue Sky). Paralegal Allison Nichols also provided valuable assistance.