Vector Group Ltd. announced that it has commenced an offer to issue and sell $850 million aggregate principal amount of senior secured notes due 2025 (Notes). The offering is expected to price on January 19, 2017, subject to the satisfaction of customary closing conditions. The company intends to use the net cash proceeds from the offering of the Notes and, to the extent completed concurrently with the offering of the Notes, the Equity Sale or cash on hand to redeem all of the company's outstanding 7.750% Senior Secured Notes due 2021 (Existing Notes) and for general corporate purposes. The Notes are being offered in a private offering that is exempt from the registration requirements of the Securities Act of 1933, as amended (the 'Securities Act'), to qualified institutional buyers in accordance with Rule 144A under the Securities Act and to persons outside the United States in compliance with Regulation.