Ferguson Prices $750 Million of Senior Unsecured Notes
Ferguson Enterprises Inc. (NYSE: FERG; LSE: FERG) has priced a public offering of $750 million in 5.000% senior unsecured notes due 2034. The notes will be fully guaranteed by Ferguson UK Holdings , an indirect subsidiary of Ferguson. The offering is expected to close on October 3, 2024, subject to customary conditions.
Ferguson plans to use a portion of the net proceeds to prepay certain outstanding term loans, with the remaining funds allocated for general corporate purposes. The offering is being made through a shelf registration statement filed with the SEC, with BofA Securities, J.P. Morgan Securities, and RBC Capital Markets acting as joint book-running managers.
Ferguson Enterprises Inc. (NYSE: FERG; LSE: FERG) ha fissato il prezzo di un'offerta pubblica di 750 milioni di dollari in obbligazioni senior non garantite al 5,000% con scadenza nel 2034. Le obbligazioni saranno completamente garantite da Ferguson UK Holdings, una controllata indiretta di Ferguson. Si prevede che l'offerta si chiuda il 3 ottobre 2024, soggetta a condizioni consuete.
Ferguson prevede di utilizzare una parte del ricavato netto per rimborsare in anticipo alcune obbligazioni a termine in essere, mentre i fondi rimanenti saranno destinati a scopi aziendali generali. L'offerta è realizzata tramite una registrazione di shelf depositata presso la SEC, con BofA Securities, J.P. Morgan Securities e RBC Capital Markets che fungono da manager congiunti dell'offerta.
Ferguson Enterprises Inc. (NYSE: FERG; LSE: FERG) ha fijado el precio de una oferta pública de 750 millones de dólares en notas senior no garantizadas al 5,000% que vencen en 2034. Las notas estarán completamente garantizadas por Ferguson UK Holdings, una filial indirecta de Ferguson. Se espera que la oferta se cierre el 3 de octubre de 2024, sujeta a condiciones habituales.
Ferguson planea usar una parte de los ingresos netos para pagar anticipadamente ciertos préstamos a plazo pendientes, con los fondos restantes asignados a fines corporativos generales. La oferta se realiza a través de una declaración de registro de estantería presentada ante la SEC, con BofA Securities, J.P. Morgan Securities y RBC Capital Markets actuando como gerentes conjuntos de libro.
퍼거슨 엔터프라이즈 주식회사 (NYSE: FERG; LSE: FERG)가 2034년 만기 5.000%의 Senior 무담보 채권 7억 5000만 달러에 대한 공모가를 정했습니다. 이 채권은 퍼거슨의 간접 자회사인 퍼거슨 UK 홀딩스가 완전히 보증합니다. 이번 공모는 2024년 10월 3일에 마감될 것으로 예상되며, 관습적인 조건이 적용됩니다.
퍼거슨은 순수익의 일부를 일부 미상환 만기 대출금을 조기 상환하는 데 사용할 계획이며, 나머지 자금은 일반 기업 목적으로 배정됩니다. 이번 공모는 SEC에 제출된 선반 등록에 따라 이루어지며, BofA 증권, JP모건 증권, RBC 캐피털 마켓이 공동 북런닝 매니저로 활동합니다.
Ferguson Enterprises Inc. (NYSE: FERG; LSE: FERG) a fixé le prix d'une offre publique de 750 millions de dollars en obligations senior non sécurisées à 5,000% échéant en 2034. Les obligations seront entièrement garanties par Ferguson UK Holdings, une filiale indirecte de Ferguson. La clôture de l'offre est prévue pour le 3 octobre 2024, sous réserve des conditions habituelles.
Ferguson prévoit d'utiliser une partie des recettes nettes pour rembourser par anticipation certains prêts à terme en cours, le reste des fonds étant destiné à des fins générales d'entreprise. L'offre est faite par le biais d'une déclaration d'enregistrement de plateau déposée auprès de la SEC, avec BofA Securities, J.P. Morgan Securities et RBC Capital Markets agissant en tant que gestionnaires de livre conjoints.
Ferguson Enterprises Inc. (NYSE: FERG; LSE: FERG) hat den Preis für ein öffentliches Angebot von 750 Millionen Dollar in 5,000% nicht gesicherten Senioren-Anleihen, die 2034 fällig werden, festgelegt. Die Anleihen werden vollständig von Ferguson UK Holdings, einer indirekten Tochtergesellschaft von Ferguson, garantiert. Es wird erwartet, dass das Angebot am 3. Oktober 2024 abgeschlossen wird, vorbehaltlich üblicher Bedingungen.
Ferguson plant, einen Teil der Nettomittel zu verwenden, um bestimmte ausstehende Terminkredite vorzeitig zurückzuzahlen, während die verbleibenden Mittel für allgemeine Unternehmenszwecke vorgesehen sind. Das Angebot erfolgt über eine Shelf-Registrierungsmitteilung, die bei der SEC eingereicht wurde, wobei BofA Securities, J.P. Morgan Securities und RBC Capital Markets als Joint Book-Running Manager fungieren.
- Successful pricing of $750 million in senior unsecured notes
- Notes guaranteed by Ferguson UK Holdings , enhancing credibility
- Proceeds to be used for debt repayment and general corporate purposes, improving financial flexibility
- Increase in long-term debt obligations
- Potential impact on interest expenses due to 5.000% interest rate on new notes
Insights
Ferguson's
The company's decision to use the proceeds to prepay existing term loans suggests a strategic refinancing effort. This could potentially lead to:
- Lower overall interest expenses
- Extended debt maturity profile
- Improved financial flexibility
For investors, this move demonstrates proactive financial management and could positively impact Ferguson's balance sheet. However, it's important to monitor how this additional debt affects the company's leverage ratios and long-term financial health. The involvement of major underwriters like BofA Securities, J.P. Morgan and RBC Capital Markets adds credibility to the offering.
Ferguson's
The timing of this offering is noteworthy, considering recent economic uncertainties. It suggests that Ferguson anticipates continued demand in its core markets. Investors should consider:
- Potential expansion or acquisition plans
- Ferguson's outlook on housing market trends
- The company's competitive positioning in a challenging economic environment
This financial move could strengthen Ferguson's ability to capitalize on market opportunities and navigate potential headwinds in the construction industry. Monitoring how Ferguson deploys the "general corporate purposes" portion of the proceeds will be important for understanding its strategic direction.
Ferguson intends to use a portion of the net proceeds from the sale of the Notes to prepay certain outstanding term loans, with the remaining proceeds to be used for general corporate purposes. BofA Securities, Inc., J.P. Morgan Securities LLC and RBC Capital Markets, LLC are acting as joint book-running managers for the Offering.
The Offering of the Notes and the related Guarantee is being made pursuant to an effective shelf registration statement (including a prospectus and preliminary prospectus supplement) (File Nos. 333-282398 and 333-282398-01) filed with the
This press release shall not constitute an offer to sell or purchase, or a solicitation of an offer to sell or purchase, the Notes, the Guarantee or any other security. No offer, solicitation, purchase or sale will be made in any jurisdiction in which such an offer, solicitation or sale would be unlawful.
Cautionary Note Regarding Forward-Looking Statements
Certain information in this announcement is forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to the terms of the Notes, the anticipated use of the net proceeds from the Offering of the Notes, and the expected closing date of the Offering. Forward-looking statements cover all matters which are not historical facts and speak only as of the date on which they are made. Forward-looking statements can be identified by the use of forward-looking terminology, such as “intends,” “expects,” “anticipates,” “will,” or, in each case, their negative or other variations or comparable terminology. Many factors could cause actual results to differ materially from those in such forward-looking statements, including, but not limited to: the conditions to the completion of the Notes offering may not be satisfied; uncertainty and other conditions in the markets in which we operate, and other factors beyond our control, including disruption in the financial markets and any macroeconomic or other consequences of political unrest, disputes or war; and other risks and uncertainties set forth under the heading “Risk Factors” in the Annual Report on Form 10-K filed by Ferguson with the SEC on September 25, 2024, and in other filings Ferguson makes with the SEC in the future. Forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Other than in accordance with our legal or regulatory obligations, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
About Ferguson
Ferguson (NYSE: FERG; LSE: FERG) is the largest value-added distributor serving the specialized professional in our
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Source: Ferguson Enterprises Inc.
FAQ
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