LSB Industries: End of negotiations linked to the adjustment of the price of dividends in shares

By Josh Beckerman

 

LSB Industries Inc. said a trading halt Tuesday morning was related to a stock dividend price adjustment.

In September, the maker of agricultural, industrial and mining chemicals completed a transaction that included Eldridge Industries LLC converting preferred stock into common shares. LSB paid a special stock dividend last week.

LSB said the 49.1 million common shares issued to an affiliate of Eldridge in the exchange transaction didn’t receive the dividend because the shares weren’t outstanding on the dividend record date. The company said is working with the New York Stock Exchange to address the adjustment.

Shares were at $9.80 in pre-market trading.

S&P Global said in September that it expected the conversion “will lead to a significant improvement in LSB’s credit metrics and provide the company with additional financial flexibility.”

 

Write to Josh Beckerman at [email protected]

By Josh Beckerman

LSB Industries Inc. shares were at $ 9.76 after-hours, unchanged from their closing price in the regular session.

Shares of the chemicals maker were at $ 9.80 in pre-market trading, then were halted for several hours on Tuesday. LSB said on Tuesday afternoon that the shutdown was linked to an adjustment in the price of the stock dividend.

LSB completed a transaction in September that included the conversion of preferred shares by Eldridge Industries LLC into common stock. LSB paid a special stock dividend last week.

Write to Josh Beckerman at [email protected]

Eleanor C. William