Knoll, Inc. today announced the closing of the previously announced purchase of $164.0 million in convertible preferred stock by an independently managed subsidiary of Investindustrial VII L.P.

As previously announced, transaction terms follow:

$164.0 million of convertible, perpetual preferred stock, which will be convertible into shares of Knoll, Inc. common stock at an initial conversion price of $16.75 per share.
The preferred stock carries a 4.50% dividend, which will be payable at Knoll’s option in cash or in-kind for the first 2 years and payable in cash thereafter.

Knoll expects to use the net proceeds from the transaction for general corporate purposes, including to reduce outstanding borrowings under its credit facility.