Southland Targets Dec. 18 Preferred Issue to Convert at Least $151 Million

Southland Holdings, Inc. is targeting a Dec. 18 preferred share issuance to convert at least $151 million in nonbonding financing, a move expected to reduce debt.

Southland expects about $6 million in interest expense each quarter as it pursues the transaction. The company extended the issuance deadline to Dec. 18, while accounting classification and final surety steps remain pending.

Southland President, CEO and Interim Chairman Frankie S. Renda said the company’s third-quarter financing steps formalized support from its sureties. “In the third quarter, we executed the financial assistance agreement and the second amendment to our term loan facility, which formalized the support our sureties have been providing.”

Southland’s third-quarter results showed $233.8 million in revenue and diluted earnings per share of $0.62 for the quarter ended Sept. 30.