Ramaco Resources completes $57 million senior unsecured notes offering

Ramaco Resources Inc. (NASDAQ: METC) completed a $57 million public offering of senior unsecured notes due 2030, the company announced July 31.

The notes carry an 8.250% annual interest rate, payable quarterly on January 30, April 30, July 30 and October 30 of each year, beginning October 30, 2025. The notes mature July 31, 2030, and can be redeemed by the company starting July 31, 2027, at 100% of the principal amount plus accrued interest.

Egan-Jones Ratings Company rated the notes 'BBB-'. The notes were issued in minimum denominations of $25 and traded in multiples of $25.

Ramaco Resources plans to use the net proceeds to redeem all outstanding 9.00% Senior Notes Due 2026, which have $34.5 million in aggregate principal amount currently outstanding. The company will use remaining proceeds for general corporate purposes, including funding rare earth development acceleration, future investments, capital expenditures and working capital.

The underwriters received a 30-day option to purchase up to an additional $8 million aggregate principal amount of notes. The company applied to list the notes on the Nasdaq Global Select Market under the symbol "METCI," with trading expected to commence within 30 business days after issuance if approved.

Lucid Capital Markets LLC served as lead bookrunner for the offering. B. Riley Securities Inc., Janney Montgomery Scott LLC, Piper Sandler & Co., and William Blair & Company L.L.C. acted as joint book-running managers.

Ramaco Resources operates metallurgical coal mines in southern West Virginia and southwestern Virginia, and develops coal and rare earth minerals in Wyoming. The company currently operates four active metallurgical coal mining complexes in Central Appalachia and one coal mine with rare earth development near Sheridan, Wyoming.

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