Business

James River Coal plans stock offering

RICHMOND, Va. — Mine operator James River Coal Co. is planning to sell stock to repay debt.

The Richmond-based company with mines in Kentucky and Indiana said in a Securities and Exchange Commission filing Tuesday it's hoping to sell 1.5 million shares, with an overallotment option to sell up to 225,000 additional shares, in a public offering.

While the filing doesn't list a share price or date, the company says it's required to offer at least half the money to creditors to pay down its revolving credit line and a term loan.

SEC filings show James River owed nearly $16.6 million on the term loan as of June 30 and had approximately $18.1 million of credit available on the revolving line as of July.

The remaining proceeds would be used for capital expenditures and general purposes.

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