Eastman Announces Pricing of $500 Million 5.000% Notes due 2029
Eastman Chemical Company (NYSE: EMN) has announced the pricing of a $500 million public offering of 5.000% notes due 2029. The offering is expected to close on August 1, 2024. Eastman plans to use part of the proceeds to fund a cash tender offer for up to $250 million of its outstanding 3.800% Notes due 2025, with the remainder allocated for general corporate purposes.
The notes are being offered under an automatic shelf registration statement, with several major financial institutions serving as joint book-running managers. This offering is subject to SEC regulations and is only available through a prospectus supplement and accompanying prospectus.
Eastman, founded in 1920, is a global specialty materials company with a focus on innovation and sustainability. The company reported revenue of approximately $9.2 billion in 2023 and employs around 14,000 people worldwide.
Eastman Chemical Company (NYSE: EMN) ha annunciato la determinazione del prezzo di un'offerta pubblica di 500 milioni di dollari di obbligazioni con un tasso di interesse del 5.000% in scadenza nel 2029. Si prevede che l'offerta si chiuda il 1 agosto 2024. Eastman prevede di utilizzare parte del ricavato per finanziare un offerta pubblica di acquisto in contanti per un massimo di 250 milioni di dollari delle sue obbligazioni 3.800% in scadenza nel 2025, mentre la restante parte sarà destinata a scopi aziendali generali.
Le obbligazioni vengono offerte sotto una dichiarazione di registrazione automatica, con diverse importanti istituzioni finanziarie che fungono da co-responsabili della gestione. Questa offerta è soggetta alle normative SEC ed è disponibile solo tramite un supplemento di prospetto e un prospetto accompagnatorio.
Eastman, fondata nel 1920, è un'azienda globale specializzata nei materiali, con un focus sull'innovazione e sulla sostenibilità. L'azienda ha riportato un fatturato di circa 9,2 miliardi di dollari nel 2023 e impiega circa 14.000 persone in tutto il mondo.
Eastman Chemical Company (NYSE: EMN) ha anunciado la determinación del precio de una oferta pública de 500 millones de dólares en notas con un interés del 5.000% con vencimiento en 2029. Se espera que la oferta cierre el 1 de agosto de 2024. Eastman planea utilizar parte de los ingresos para financiar una oferta de compra en efectivo de hasta 250 millones de dólares de sus notas con un 3.800% que vencen en 2025, destinando el resto a propósitos corporativos generales.
Las notas se ofrecen bajo una declaración de registro automático, con varias instituciones financieras importantes que actúan como coadministradoras de libros. Esta oferta está sujeta a regulaciones de la SEC y solo está disponible a través de un suplemento de prospecto y un prospecto acompañante.
Eastman, fundada en 1920, es una empresa global especializada en materiales con un enfoque en la innovación y la sostenibilidad. La compañía reportó ingresos de aproximadamente 9,2 mil millones de dólares en 2023 y emplea a alrededor de 14,000 personas en todo el mundo.
이스트맨 화학 회사 (NYSE: EMN)는 2029년에 만기되는 5.000% 채권에 대한 5억 달러의 공모가 확정되었다고 발표했습니다. 이 공모는 2024년 8월 1일 마감될 예정입니다. 이스트맨은 수익금의 일부를 사용하여 2025년에 만기되는 3.800% 채권 최대 2억 5천만 달러에 대한 현금 공개 매입 제안을 할 계획이며, 나머지는 일반 기업 용도로 사용할 것입니다.
채권은 자동 선반 등록 성명서에 따라 제공되며, 여러 주요 금융 기관이 공동 북런닝 매니저로 활동하고 있습니다. 이 공모는 SEC 규정을 준수하며, 전망서 보충 자료와 함께 제공되는 전망서를 통해서만 이용 가능합니다.
1920년에 설립된 이스트맨은 혁신과 지속 가능성에 중점을 둔 글로벌 특수 재료 회사입니다. 이 회사는 2023년에 약 92억 달러의 수익을 보고했고, 전 세계적으로 약 14,000명의 직원을 고용하고 있습니다.
Eastman Chemical Company (NYSE: EMN) a annoncé le prix d'une offre publique de 500 millions de dollars de notes à 5,000% échéant en 2029. L'offre devrait se clôturer le 1er août 2024. Eastman prévoit d'utiliser une partie des produits pour financer une offre de rachat en espèces allant jusqu'à 250 millions de dollars de ses obligations 3,800% échéant en 2025, le reste étant destiné à des fins générales d'entreprise.
Les notes sont proposées dans le cadre d'une déclaration d'enregistrement automatique, avec plusieurs grandes institutions financières agissant en tant que co-leads. Cette offre est soumise aux réglementations de la SEC et n'est disponible que par le biais d'un supplément de prospectus et d'un prospectus accompagnant.
Fondée en 1920, Eastman est une entreprise mondiale spécialisée dans les matériaux, axée sur l'innovation et la durabilité. L'entreprise a rapporté un chiffre d'affaires d'environ 9,2 milliards de dollars en 2023 et emploie environ 14 000 personnes à travers le monde.
Die Eastman Chemical Company (NYSE: EMN) hat die Preisfestsetzung einer 500 Millionen Dollar öffentlichen Anleiheangebot mit 5.000% Zinsen fällig 2029 bekannt gegeben. Das Angebot wird voraussichtlich am 1. August 2024 abgeschlossen. Eastman plant, einen Teil des Erlöses zu verwenden, um ein Barangebot zur Rücknahme von bis zu 250 Millionen Dollar ihrer ausstehenden 3.800% Anleihen, fällig 2025, zu finanzieren, während der Rest für allgemeine Unternehmenszwecke verwendet wird.
Die Anleihen werden unter einer automatischen Registernotiz angeboten, wobei mehrere große Finanzinstitute als Co-Bookrunner fungieren. Dieses Angebot unterliegt den Vorschriften der SEC und ist nur über einen Prospekt und einen begleitenden Prospekt erhältlich.
Eastman, 1920 gegründet, ist ein global tätiges Spezialmaterialunternehmen mit Fokus auf Innovation und Nachhaltigkeit. Das Unternehmen meldete Einnahmen von rund 9,2 Milliarden Dollar im Jahr 2023 und beschäftigt weltweit etwa 14.000 Mitarbeiter.
- Successful pricing of $500 million notes offering, indicating strong market interest
- Strategic debt management through tender offer for existing notes
- Potential for improved financial flexibility with new funding
- Strong backing from major financial institutions as book-running managers
- Increase in long-term debt obligations with new notes issuance
- Higher interest rate on new notes (5.000%) compared to notes being repurchased (3.800%)
- Potential impact on financial ratios and credit metrics
Eastman Chemical Company's announcement of a
- Debt Refinancing:
$250 million will be used to repurchase existing 3.800% Notes due 2025, potentially lowering overall interest expenses. - Financial Flexibility: The remaining proceeds provide additional liquidity for various corporate initiatives, including capital expenditures and working capital management.
- Market Timing: The
5.000% interest rate suggests Eastman is capitalizing on relatively favorable market conditions, considering the current high-interest rate environment.
From an investor's perspective, this move demonstrates proactive financial management. However, it's important to monitor how effectively Eastman utilizes the additional capital and whether it translates into improved operational performance and shareholder value in the long term.
Eastman's debt offering provides insights into both company-specific and broader market trends:
- Industry Confidence: The successful pricing of this substantial offering suggests investor confidence in Eastman's creditworthiness and the specialty materials sector.
- Corporate Strategy: The partial refinancing and allocation for 'strategic initiatives' hint at Eastman's focus on optimizing its capital structure while investing in growth opportunities.
- Market Appetite: The involvement of multiple top-tier financial institutions as joint book-running managers indicates strong market interest in corporate debt from established companies like Eastman.
For investors, this offering underscores Eastman's proactive approach to capital management. However, it's essential to consider how this additional debt might impact the company's financial ratios and long-term fiscal health, especially in light of its
Eastman intends to use a portion of the net proceeds from the sale of the Notes to complete the previously announced cash tender offer (the “Tender Offer”) to purchase up to an aggregate principal amount of
The offering is being made under an automatic shelf registration statement on Form S-3 (Registration No. 333-280083) filed by Eastman with the Securities and Exchange Commission (“SEC”) on June 10, 2024 and only by means of a prospectus supplement and accompanying prospectus. A preliminary prospectus supplement and an issuer free writing prospectus have been filed, and a prospectus supplement relating to the offering of the Notes will be filed, with the SEC, to which this communication relates. Prospective investors should read the issuer free writing prospectus, preliminary prospectus supplement and the accompanying prospectus included in the registration statement and other documents Eastman has filed with the SEC for more complete information about Eastman and the offering. These documents are available at no charge by visiting EDGAR on the SEC website at http://www.sec.gov. Alternatively, the prospectus and the prospectus supplement may be obtained by contacting BofA Securities, Inc. at 1-800-294-1322, Citigroup Global Markets Inc. at 1-800-831-9146, J.P. Morgan Securities LLC at 1-212-834-4533, Mizuho Securities
This communication is neither an offer to sell nor a solicitation of an offer to buy the securities described herein, nor shall there be any offer, solicitation or sale of these securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such jurisdiction. The offering of these securities will be made only by means of the applicable prospectus supplement and the related prospectus. The securities being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the registration statement, the prospectus contained therein or the applicable free writing prospectus or prospectus supplement.
Founded in 1920, Eastman is a global specialty materials company that produces a broad range of products found in items people use every day. Eastman works with customers to deliver innovative products and solutions while maintaining a commitment to safety and sustainability. Eastman’s innovation-driven growth model takes advantage of world-class technology platforms, deep customer engagement, and differentiated application development to grow its leading positions in attractive end markets such as transportation, building and construction, and consumables. Eastman employs approximately 14,000 people around the world and serves customers in more than 100 countries. Eastman had 2023 revenue of approximately
Forward-Looking Statements
This news release contains forward-looking statements that are based on current expectations and beliefs of Eastman. All statements other than statements of historical fact, are statements that could be deemed forward-looking statements, including the timing and completion of the offering of the Notes and the intended use of proceeds therefrom. Such expectations and assumptions are based upon certain preliminary information, internal estimates, and management assumptions, expectations, and plans, and are subject to a number of risks and uncertainties inherent in projecting future conditions, events, and results. Actual results could differ materially from expectations and assumptions expressed in the forward-looking statements if one or more of the underlying assumptions or expectations prove to be inaccurate or are unrealized. Important factors that could cause actual results to differ materially from such expectations are and will be detailed in Eastman’s filings with the SEC, including in Eastman’s Annual Report on Form 10-K for the year ended December 31, 2023. These statements are based on Eastman’s current beliefs and expectations and speak only as of the date of this release. Eastman does not undertake any obligation to publicly update any forward-looking statements.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240729495979/en/
Media: Tracy Kilgore Addington
423-224-0498 / tracy@eastman.com
Investors: Greg Riddle
212-835-1620 / griddle@eastman.com
Source: Eastman Chemical Company
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