Solutia To Raise $290 Million in Stock Sale

St. Louis, MO, Aug. 11, 2008 — Solutia Inc. is offering  22,307,692 shares of its common stock to the public at a price of $13 per share.

The news sent shares of the company down more than 10 percent in Monday morning trading.

Gross proceeds will be approximately $290 million. All of the approximately $277 million of net proceeds from the offering will be used to partially repay Solutia’s $400 million 15.50 percent bridge credit facility before the end of February, the company said
 
The company expects to close the transaction by Aug. 14.