Oatly Group (OTLY) said late Tuesday it priced a 1.70 billion Swedish Krona ($184.2 million) offering of senior secured floating rate bonds.

The bonds will bear a rate equal to 3-month Stockholm Interbank Offered Rate plus 7% with a four-year tenor, according to a statement.

The issue is expected to close on Sept. 30, subject to closing conditions, the company said.

Net proceeds will be used to prepay the company's $130 million outstanding under a term loan B credit facility, buyback and cancel some of its 9.25% convertible senior notes due 2028, and to cover related costs, according to the company.