Molycorp Declares Preferred Dividend & Announces Mandatory Conversion of Series A Preferred Stock
February 5, 2014 (Source: FSC Wire) — Molycorp, Inc (MCP – NYSE),today announced that its Board of Directors has elected to declare a cash dividend on outstanding shares of its 5.50% Series A mandatory convertible preferred stock in an amount equal to $1.375 per share. Molycorp will pay the dividend on March 1, 2014 to the holders of record of shares of Series A mandatory convertible preferred stock at the close of business on February 15, 2014. As of February 1, 2014, there were a total of 2,070,000 shares of Series A mandatory convertible preferred stock outstanding.
On the Mandatory Conversion Date of March 1, 2014, holders of Preferred Stock will receive 2 shares of Common Stock, par value $0.001 for each share of Preferred stock converted. There are currently 2,070,000 shares of Preferred Stock outstanding, and a total of approximately 4,140,000 shares of Common Stock will be issued upon conversion of the Preferred Stock.
From and after the Mandatory Conversion Date, the Preferred Stock not previously converted will be deemed to be no longer outstanding and all rights of the holders with respect to such Preferred Stock will terminate, except for the right to receive the number of whole shares of common stock issuable upon conversion of the Preferred Stock, as described.
About Molycorp, Inc.
Molycorp is the only advanced material manufacturer in the world that both controls a world-class rare earth resource and can produce high-purity, custom engineered rare earth products to meet increasingly demanding customer specifications. With 27 locations across 11 countries, the Company produces a wide variety of specialized products from 13 different rare earths (lights and heavies), five rare metals (gallium, indium, rhenium, tantalum and niobium), and the transition metals yttrium and zirconium. The Company produces rare earth magnetic materials through its Molycorp Magnequench subsidiary, including neodymium-iron-boron (NdFeB) magnet powders, used to manufacture bonded NdFeB permanent rare earth magnets. Through its joint venture with Daido Steel and the Mitsubishi Corporation, Molycorp manufactures next-generation, sintered NdFeB permanent rare earth magnets. The Company also markets and sells a line of rare earth-based water treatment products. For more information please visit www.molycorp.com.
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