Alcoa Corporation Announces Closing of Debt Offering
Alcoa (NYSE:AA) has announced the successful closing of a dual-tranche debt offering through its subsidiary Alumina Pty The offering consists of $500 million in 6.125% senior notes due 2030 and $500 million in 6.375% senior notes due 2032.
The notes are backed by senior unsecured guarantees from Alcoa and select subsidiaries. The funds will be utilized within the Alcoa group, particularly to support Alcoa Nederland Holding B.V. (ANHBV) in its tender offers for existing notes: the complete buyback of $750 million 5.500% Notes due 2027 and up to $250 million of the 6.125% Notes due 2028.
The notes were privately placed to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S of the Securities Act. Any remaining proceeds may be used for general corporate purposes, including potential redemption of existing notes.
Alcoa (NYSE:AA) ha annunciato la chiusura con successo di un'offerta di debito a doppia tranche attraverso la sua controllata Alumina Pty. L'offerta consiste in 500 milioni di dollari in note senior al 6,125% con scadenza nel 2030 e 500 milioni di dollari in note senior al 6,375% con scadenza nel 2032.
Le note sono garantite da garanzie senior non garantite da Alcoa e da alcune controllate selezionate. I fondi saranno utilizzati all'interno del gruppo Alcoa, in particolare per supportare Alcoa Nederland Holding B.V. (ANHBV) nelle sue offerte di acquisto per note esistenti: il riacquisto totale di note da 750 milioni di dollari al 5,500% con scadenza nel 2027 e fino a 250 milioni di dollari delle note al 6,125% con scadenza nel 2028.
Le note sono state collocate privatamente a compratori istituzionali qualificati ai sensi della Regola 144A e a persone non statunitensi ai sensi della Regolamentazione S del Securities Act. Qualsiasi provento residuo potrà essere utilizzato per scopi aziendali generali, inclusa la potenziale rimborso di note esistenti.
Alcoa (NYSE:AA) ha anunciado el cierre exitoso de una oferta de deuda de doble tramo a través de su subsidiaria Alumina Pty. La oferta consiste en 500 millones de dólares en notas senior al 6,125% con vencimiento en 2030 y 500 millones de dólares en notas senior al 6,375% con vencimiento en 2032.
Las notas están respaldadas por garantías senior no garantizadas de Alcoa y algunas subsidiarias seleccionadas. Los fondos se utilizarán dentro del grupo Alcoa, particularmente para apoyar a Alcoa Nederland Holding B.V. (ANHBV) en sus ofertas de compra de notas existentes: la recompra total de notas de 750 millones de dólares al 5,500% con vencimiento en 2027 y hasta 250 millones de dólares de las notas al 6,125% con vencimiento en 2028.
Las notas se colocaron de manera privada a compradores institucionales calificados bajo la Regla 144A y a personas no estadounidenses bajo la Regulación S de la Ley de Valores. Cualquier ingreso restante puede ser utilizado para fines corporativos generales, incluyendo el posible rescate de notas existentes.
알코아 (NYSE:AA)는 자회사 알루미나 Pty를 통해 이중 트랜치 채무 제공의 성공적인 마감을 발표했습니다. 이 제공은 2030년에 만기가 도래하는 6.125%의 선순위 노트 5억 달러와 2032년에 만기가 도래하는 6.375%의 선순위 노트 5억 달러로 구성됩니다.
이 노트는 알코아와 일부 선택된 자회사로부터의 선순위 무담보 보증에 의해 지원됩니다. 자금은 알코아 그룹 내에서 사용되며, 특히 알코아 네덜란드 홀딩 B.V. (ANHBV)의 기존 노트에 대한 입찰 제안을 지원하는 데 사용됩니다: 2027년에 만기가 도래하는 5.500% 노트의 총 7억 5천만 달러를 전량 매입하고, 2028년에 만기가 도래하는 6.125% 노트의 최대 2억 5천만 달러를 매입하는 것입니다.
노트는 규칙 144A에 따라 자격을 갖춘 기관 구매자에게 비공식적으로 배치되었으며, 증권법의 규정 S에 따라 비미국인에게도 배치되었습니다. 남은 수익금은 기존 노트의 잠재적 상환을 포함한 일반 기업 목적에 사용할 수 있습니다.
Alcoa (NYSE:AA) a annoncé la clôture réussie d'une offre de dette à double tranche par l'intermédiaire de sa filiale Alumina Pty. L'offre comprend 500 millions de dollars en obligations senior à 6,125% arrivant à échéance en 2030 et 500 millions de dollars en obligations senior à 6,375% arrivant à échéance en 2032.
Les obligations sont soutenues par des garanties senior non sécurisées d'Alcoa et de certaines filiales sélectionnées. Les fonds seront utilisés au sein du groupe Alcoa, en particulier pour soutenir Alcoa Nederland Holding B.V. (ANHBV) dans ses offres de rachat d'obligations existantes : le rachat complet de 750 millions de dollars d'obligations à 5,500% arrivant à échéance en 2027 et jusqu'à 250 millions de dollars d'obligations à 6,125% arrivant à échéance en 2028.
Les obligations ont été placées de manière privée auprès d'acheteurs institutionnels qualifiés en vertu de la Règle 144A et auprès de personnes non américaines en vertu de la Réglementation S de la Loi sur les valeurs mobilières. Tout produit restant pourra être utilisé à des fins d'entreprise générales, y compris le remboursement potentiel d'obligations existantes.
Alcoa (NYSE:AA) hat den erfolgreichen Abschluss eines dualen Schuldenangebots über seine Tochtergesellschaft Alumina Pty bekannt gegeben. Das Angebot umfasst 500 Millionen Dollar in 6,125% Senior Notes mit Fälligkeit 2030 und 500 Millionen Dollar in 6,375% Senior Notes mit Fälligkeit 2032.
Die Notes sind durch unbesicherte Senior-Garantien von Alcoa und ausgewählten Tochtergesellschaften abgesichert. Die Mittel werden innerhalb der Alcoa-Gruppe verwendet, insbesondere um Alcoa Nederland Holding B.V. (ANHBV) bei seinen Übernahmeangeboten für bestehende Notes zu unterstützen: den vollständigen Rückkauf von 750 Millionen Dollar 5,500% Notes mit Fälligkeit 2027 und bis zu 250 Millionen Dollar der 6,125% Notes mit Fälligkeit 2028.
Die Notes wurden privat an qualifizierte institutionelle Käufer gemäß Regel 144A und an Nicht-US-Personen gemäß der Regelung S des Securities Act platziert. Etwaige verbleibende Erlöse können für allgemeine Unternehmenszwecke verwendet werden, einschließlich der potenziellen Rückzahlung bestehender Notes.
- Successful raising of $1 billion through new debt offering
- Strategic debt refinancing to potentially reduce interest expenses
- Strong institutional investor interest in private placement
- Increased debt load with higher interest rates (6.125% and 6.375%) compared to existing notes (5.500%)
- Additional leverage on balance sheet
Insights
Alcoa's $1 billion debt offering represents a significant liability management exercise for the aluminum producer, with the issuance spread across two tranches:
This transaction is primarily aimed at refinancing existing debt, specifically targeting the retirement of
The interest cost implications are notable. The new debt will generate annual interest expenses of approximately
From a balance sheet perspective, this transaction appears to be primarily a maturity extension rather than a net increase in leverage, assuming full subscription of the tender offers. The structure involving multiple subsidiaries suggests careful consideration of the company's legal entity structure for optimal financial positioning.
For investors, this liability management exercise demonstrates proactive capital structure management, though the higher interest burden will impact future cash flows available for operations, capital expenditures, and shareholder returns.
The Issuer intends to deploy the funds within the Alcoa group, including funding contributions to Alcoa Nederland Holding B.V. (“ANHBV”), a wholly-owned subsidiary of Alcoa and the issuer of the outstanding
The notes and related guarantees were sold in a private placement to qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to certain non-
This press release does not constitute an offer to buy or sell or a solicitation of an offer to buy or sell the notes and related guarantees, the Existing 2027 Notes, the Existing 2028 Notes or any other security and there will be no offer, solicitation, purchase or sale in any state or jurisdiction in which, or to any persons to whom, such an offer, solicitation, purchase or sale would be unlawful. Any offers of the notes and related guarantees were made only by means of a private offering memorandum. The Tender Offers are being made only by means of the relevant offer to purchase and notice of guaranteed delivery, as applicable.
About Alcoa
Alcoa is a global industry leader in bauxite, alumina and aluminum products with a vision to reinvent the aluminum industry for a sustainable future. Our purpose is to turn raw potential into real progress, underpinned by Alcoa Values that encompass integrity, operating excellence, care for people and courageous leadership. Since developing the process that made aluminum an affordable and vital part of modern life, our talented Alcoans have developed breakthrough innovations and best practices that have led to improved safety, sustainability, efficiency, and stronger communities wherever we operate.
Forward-Looking Statements
This press release contains statements that relate to future events and expectations, including those relating to the intended use of the net proceeds from the issuance of the notes and the Tender Offers, and as such constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include those containing such words as “aims,” “ambition,” “anticipates,” “believes,” “could,” “develop,” “endeavors,” “estimates,” “expects,” “forecasts,” “goal,” “intends,” “may,” “outlook,” “potential,” “plans,” “projects,” “reach,” “seeks,” “sees,” “should,” “strive,” “targets,” “will,” “working,” “would,” or other words of similar meaning. All statements by Alcoa that reflect expectations, assumptions or projections about the future, other than statements of historical fact, are forward-looking statements. Forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties, and changes in circumstances that are difficult to predict. Although Alcoa believes that the expectations reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that these expectations will be attained and it is possible that actual results may differ materially from those indicated by these forward-looking statements due to a variety of risks and uncertainties. Additional information concerning factors that could cause actual results to differ materially from those projected in the forward-looking statements is contained in Alcoa’s filings with the Securities and Exchange Commission. Alcoa disclaims any obligation to update publicly any forward-looking statements, whether in response to new information, future events or otherwise, except as required by applicable law.
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Investor Contact
Yolande Doctor
412-992-5450
Yolande.B.Doctor@alcoa.com
Media Contact
Courtney Boone
412-527-9792
Courtney.Boone@alcoa.com
Source: Alcoa
FAQ
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