Avient Announces Commencement of $650 Million Senior Notes Offering
Avient (NYSE: AVNT) has announced the commencement of a $650 million senior notes offering due 2031. The offering is exempt from registration requirements under the Securities Act of 1933. Avient plans to use the net proceeds, along with cash on hand, to redeem all outstanding 5.75% senior notes due 2025 and cover related fees and expenses.
The notes will be offered exclusively to qualified institutional buyers under Rule 144A and non-U.S. persons under Regulation S. They will not be registered under the Securities Act and cannot be offered or sold in the United States without registration or an applicable exemption. This announcement does not constitute an offer to sell, solicitation to buy, or notice of redemption for the 2025 senior notes.
Avient (NYSE: AVNT) ha annunciato l'inizio di un
Le note saranno offerte esclusivamente a investitori istituzionali qualificati ai sensi della Regola 144A e a persone non statunitensi ai sensi della Regolamentazione S. Non saranno registrate ai sensi del Securities Act e non possono essere offerte o vendute negli Stati Uniti senza registrazione o un'esenzione applicabile. Questo annuncio non costituisce un'offerta di vendita, una sollecitazione all'acquisto o un avviso di riscatto per le note senior del 2025.
Avient (NYSE: AVNT) ha anunciado el inicio de una
Las notas se ofrecerán exclusivamente a compradores institucionales calificados bajo la Regla 144A y a personas no estadounidenses bajo la Regulación S. No estarán registradas bajo la Ley de Valores y no pueden ser ofrecidas o vendidas en los Estados Unidos sin registro o una exención aplicable. Este anuncio no constituye una oferta de venta, una solicitud de compra o un aviso de redención para las notas senior de 2025.
Avient (NYSE: AVNT)은 2031년에 만료되는 6억 5천만 달러 규모의 선순위 노트 발행을 시작한다고 발표했습니다. 이 발행은 1933년 증권법에 따른 등록 요건에서 면제됩니다. Avient는 자산과 함께 순수익을 활용하여 2025년에 만료되는 모든 5.75% 선순위 노트를 상환하고 관련 수수료 및 비용을 충당할 계획입니다.
노트는 비상장 기관 투자자 및 규정 S에 따른 비미국인에게만 제공됩니다. 이 노트는 증권법에 따라 등록되지 않으며, 등록 없이는 미국에서 제안되거나 판매될 수 없습니다. 이 발표는 2025년 선순위 노트를 판매하거나 구매를 요구하거나 상환 통지를 제공하는 것을 뜻하지 않습니다.
Avient (NYSE: AVNT) a annoncé le lancement d'une
Les notes seront offertes exclusivement à des acheteurs institutionnels qualifiés en vertu de la règle 144A et à des personnes non américaines en vertu du règlement S. Elles ne seront pas enregistrées en vertu de la loi sur les valeurs mobilières et ne peuvent pas être offertes ou vendues aux États-Unis sans enregistrement ou une exemption applicable. Cet avis ne constitue pas une offre de vente, une sollicitation d'achat ou un avis de rachat pour les notes senior de 2025.
Avient (NYSE: AVNT) hat den Beginn eines 650 Millionen Dollar Senior Notes-Angebots mit Fälligkeit im Jahr 2031 bekannt gegeben. Das Angebot ist von den Registrierungsanforderungen nach dem Securities Act von 1933 befreit. Avient plant, den Nettoerlös zusammen mit vorhandenen Barmitteln zu verwenden, um alle ausstehenden 5,75% Senior Notes mit Fälligkeit 2025 einzulösen und damit verbundene Gebühren und Kosten zu decken.
Die Notes werden ausschließlich qualifizierten institutionellen Käufern gemäß Regel 144A und nicht-US-Personen gemäß Regulation S angeboten. Sie werden nicht nach dem Securities Act registriert und können ohne Registrierung oder anwendbare Ausnahme in den Vereinigten Staaten nicht angeboten oder verkauft werden. Diese Ankündigung stellt kein Angebot zum Verkauf, keine Aufforderung zum Kauf oder eine Mitteilung zur Einlösung der Senior Notes von 2025 dar.
- Refinancing of existing debt with potentially more favorable terms
- Potential improvement in debt maturity profile by extending to 2031
- Increase in total debt by $650 million
- Potential increase in interest expenses depending on new notes' interest rate
Insights
Avient's $650 million senior notes offering is a strategic move to refinance its existing debt. By replacing the 5.75% notes due in 2025 with new notes due in 2031, the company is likely aiming to extend its debt maturity profile and potentially secure more favorable interest rates. This could lead to reduced interest expenses and improved cash flow in the long term.
The offering, to qualified institutional buyers and non-U.S. persons, suggests a targeted approach to debt management. While this refinancing doesn't directly impact Avient's operations, it demonstrates proactive financial management. Investors should monitor the interest rate of the new notes when announced, as it will affect the company's future financial obligations and profitability.
The structure of Avient's notes offering raises important legal considerations. By utilizing Rule 144A and Regulation S exemptions, Avient avoids the more stringent registration requirements of a public offering. This approach often allows for a faster and less costly issuance process.
However, investors should note the resale restrictions that typically accompany such offerings. The company's explicit disclaimer about registration and offer limitations is a standard legal precaution to avoid potential securities law violations. This offering structure is common for corporate debt issuances and doesn't necessarily indicate any unusual legal risks for Avient or potential investors.
Avient's debt refinancing comes at a time when many companies are reassessing their capital structures amid changing market conditions. The move to extend debt maturity to 2031 suggests confidence in long-term stability and may be viewed positively by the market. However, the impact on Avient's stock will largely depend on the new notes' interest rate compared to the current 5.75%.
Investors should consider this refinancing in the context of broader industry trends. If Avient secures more favorable terms, it could enhance its competitive position in the specialty materials sector. The company's ability to attract $650 million in institutional investment may also be seen as a vote of confidence in its financial health and future prospects.
Avient intends to use the net proceeds from the offering, together with cash on hand, to redeem all of its outstanding
The notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act and outside
This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. This news release does not constitute a notice of redemption pursuant to the terms of the 2025 senior notes.
About Avient
Avient Corporation (NYSE: AVNT) provides specialized and sustainable materials solutions that transform customer challenges into opportunities, bringing new products to life for a better world.
Forward-Looking Statements
Certain statements contained in this news release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give current expectations or forecasts of future events and are not guarantees of future performance. They are based on management's expectations that involve a number of business risks and uncertainties, any of which could cause actual results to differ materially from those expressed in or implied by the forward-looking statements. You can identify these statements by the fact that they do not relate strictly to historic or current facts. They use words such as "will," "anticipate," "estimate," "expect," "project," "intend," "plan," "believe" and other words and terms of similar meaning in connection with any discussion of future operating or financial condition, performance and/or sales. Factors that could cause actual results to differ materially from those implied by these forward-looking statements include, but are not limited to: disruptions, uncertainty or volatility in the credit markets that could adversely impact the availability of credit already arranged and the availability and cost of credit in the future; the effect on foreign operations of currency fluctuations, tariffs and other political, economic and regulatory risks; disruptions or inefficiencies in our supply chain, logistics, or operations; changes in laws and regulations in jurisdictions where we conduct business, including with respect to plastics and climate change; fluctuations in raw material prices, quality and supply, and in energy prices and supply; demand for our products and services; production outages or material costs associated with scheduled or unscheduled maintenance programs; unanticipated developments that could occur with respect to contingencies such as litigation and environmental matters; our ability to pay regular quarterly cash dividends and the amounts and timing of any future dividends; information systems failures and cyberattacks; amounts for cash and non-cash charges related to restructuring plans that may differ from original estimates, including because of timing changes associated with the underlying actions; our ability to achieve strategic objectives and successfully integrate acquisitions, including the implementation of a cloud-based enterprise resource planning system, S/4HANA; other factors affecting our business beyond our control, including without limitation, changes in the general economy, changes in interest rates, changes in the rate of inflation, geopolitical conflicts, and any recessionary conditions; and other factors described in our Annual Report on Form 10-K for the year ended December 31, 2023 under Item 1A, "Risk Factors."
We cannot guarantee that any forward-looking statement will be realized, although we believe we have been prudent in our plans and assumptions. Achievement of future results is subject to risks, uncertainties and assumptions. Should known or unknown risks or uncertainties materialize, or should underlying assumptions prove inaccurate, actual results could vary materially from those anticipated, estimated or projected. Investors should bear this in mind as they consider forward-looking statements. We undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law. You are advised, however, to consult any further disclosures we make on related subjects in our reports on Forms 10-Q, 8-K, and 10-K filed with the Securities and Exchange Commission. You should understand that it is not possible to predict or identify all risk factors. Consequently, you should not consider any such list to be a complete set of all potential risks or uncertainties.
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SOURCE Avient Corporation
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