Pricing of CNH Industrial Capital LLC $600 million notes

Rhea-AI Summary

On April 4, 2023, CNH Industrial N.V. (NYSE: CNHI) announced that its subsidiary, CNH Industrial Capital LLC, has successfully priced $600 million in 4.550% notes due 2028. The issue price is set at 98.857%, with the offering expected to close on April 10, 2023. The proceeds will be used for general corporate purposes, including working capital and debt repayment. Interest on the notes will be paid semi-annually starting October 10, 2023. Deutsche Bank, Citigroup, Goldman Sachs, and MUFG are among the joint book-running managers for this offering.

Positive

• Successful pricing of $600 million in notes indicates strong market demand.
• Interest is set at a relatively high 4.550%, which may attract investors.

Negative

• The issue price of 98.857% indicates potential initial loss for investors if sold before maturity.

London, April 4, 2023

CNH Industrial N.V. (NYSE: CNHI / MI: CNHI) today announced that its wholly-owned subsidiary, CNH Industrial Capital LLC, has priced $600 million in aggregate principal amount of 4.550% notes due 2028, with an issue price of 98.857%. The offering is expected to close on April 10, 2023, subject to the satisfaction of customary closing conditions.

CNH Industrial Capital LLC intends to add the net proceeds from the offering to its general funds and use them for working capital and other general corporate purposes, including, among other things, the purchase of receivables or other assets in the ordinary course of business. The net proceeds may also be applied to repay CNH Industrial Capital LLC’s indebtedness as it becomes due.

The notes, which are senior unsecured obligations of CNH Industrial Capital LLC, will pay interest semi-annually on April 10 and October 10 of each year, beginning on October 10, 2023, and will be guaranteed by CNH Industrial Capital America LLC and New Holland Credit Company, LLC, each a wholly owned subsidiary of CNH Industrial Capital LLC. The notes will mature on April 10, 2028.

Deutsche Bank Securities Inc., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC and MUFG Securities Americas Inc. are acting as joint book-running managers and the representatives of the underwriters for the offering, and BBVA Securities Inc., Credit Agricole Securities (USA) Inc., Mizuho Securities USA LLC and Rabo Securities USA, Inc. are acting as joint book-running managers for the offering. The offering is being made pursuant to an effective shelf registration statement filed with the U.S. Securities and Exchange Commission on March 14, 2022. Copies of the prospectus supplement and the accompanying prospectus for the offering may be obtained by contacting Deutsche Bank Securities Inc., Attn: Prospectus Group, 1 Columbus Circle, New York, NY 10019, Telephone: 1-800-503-4611, Email: prospectus-CPDB@db.com, Citigroup Global Markets Inc., Attn: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, Telephone: 1-800-831-9146, Email: prospectus@citi.com, Goldman Sachs & Co. LLC, 200 West Street, New York, NY 10282, Attn: Prospectus Department, Telephone: 1-866-471-2526, Email: prospectus-ny@ny.email.gs.com; or MUFG Securities Americas Inc., Attn: Capital Markets Group, 1221 Avenue of the Americas, 6^th Floor, New York, NY 10020, by toll-free phone: 1-877-649-6848. Copies of the prospectus supplement and the accompanying prospectus for the offering are also available on the website of the U.S. Securities and Exchange Commission at http://www.sec.gov.

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This press release does not constitute an offer to sell or a solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities, in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful.

CNH Industrial Capital LLC is an indirect wholly owned subsidiary of CNH Industrial N.V. and is headquartered in Racine, Wisconsin. As a captive finance company, the primary business of CNH Industrial Capital LLC and its subsidiaries is to underwrite and manage financing products for end-use customers and dealers of CNH Industrial America LLC and CNH Industrial Canada Ltd. (collectively, “CNH Industrial North America”) and provide other related financial products and services to support the sale of agricultural and construction equipment sold by CNH Industrial North America. CNH Industrial Capital LLC and its subsidiaries also provide wholesale and retail financing related to new and used agricultural and construction equipment manufactured by entities other than CNH Industrial North America. CNH Industrial Capital LLC’s principal executive offices are located at 5729 Washington Avenue, Racine, WI 53406, and the telephone number is +1(262) 636-6011.

Contacts:

Media Relations
Email: mediarelations@cnhind.com

Investor Relations
Email: investor.relations@cnhind.com

Attachment

• 20230404_PR_CNH_Industrial_Capital_Bond_Pricing

FAQ

What is the amount CNH Industrial priced for its new bond offering?

CNH Industrial priced $600 million in 4.550% notes due 2028.

When will the proceeds from CNH Industrial's bond offering close?

The offering is expected to close on April 10, 2023.

What will CNH Industrial use the proceeds from the bond offering for?

The proceeds will be used for working capital and general corporate purposes.

What is the interest payment schedule for CNH Industrial's new notes?

The notes will pay interest semi-annually on April 10 and October 10, starting October 10, 2023.