HP Inc. Announces Pricing of Senior Notes
HP Inc. (NYSE: HPQ) has announced the pricing of a $1 billion senior unsecured notes offering, split into two tranches: $500 million of 5.400% notes due 2030 at 99.732% of principal amount, and $500 million of 6.100% notes due 2035 at 99.778% of principal amount.
The company plans to use the proceeds for general corporate purposes, including potential repayment of its 2.200% notes maturing in June 2025. The issuance is expected to close on April 25, 2025, subject to customary conditions. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities, and Wells Fargo Securities are serving as joint book-running managers for the offering.
HP Inc. (NYSE: HPQ) ha annunciato il prezzo di un emissione di obbligazioni senior non garantite per 1 miliardo di dollari, suddivisa in due tranche: 500 milioni di dollari di obbligazioni al 5,400% con scadenza 2030 al 99,732% del valore nominale, e 500 milioni di dollari di obbligazioni al 6,100% con scadenza 2035 al 99,778% del valore nominale.
L'azienda prevede di utilizzare i proventi per finalità societarie generali, inclusa la possibile estinzione delle obbligazioni al 2,200% in scadenza a giugno 2025. L'emissione dovrebbe concludersi il 25 aprile 2025, salvo condizioni consuete. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities e Wells Fargo Securities agiscono come joint book-running manager dell'offerta.
HP Inc. (NYSE: HPQ) ha anunciado la fijación de precio de una emisión de bonos senior no garantizados por 1.000 millones de dólares, dividida en dos tramos: 500 millones de dólares en bonos al 5,400% con vencimiento en 2030 al 99,732% del valor nominal, y 500 millones de dólares en bonos al 6,100% con vencimiento en 2035 al 99,778% del valor nominal.
La compañía planea usar los ingresos para fines corporativos generales, incluyendo el posible reembolso de sus bonos al 2,200% que vencen en junio de 2025. Se espera que la emisión cierre el 25 de abril de 2025, sujeta a condiciones habituales. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities y Wells Fargo Securities actúan como gestores conjuntos del libro de órdenes para la oferta.
HP Inc. (NYSE: HPQ)는 10억 달러 규모의 선순위 무담보 채권 발행 가격을 발표했으며, 두 개의 트랜치로 나뉩니다: 2030년 만기 5.400% 채권 5억 달러를 액면가의 99.732%에, 2035년 만기 6.100% 채권 5억 달러를 액면가의 99.778%에 발행합니다.
회사는 수익금을 일반 기업 목적에 사용할 계획이며, 2025년 6월 만기인 2.200% 채권 상환 가능성도 포함됩니다. 이번 발행은 2025년 4월 25일에 통상적인 조건에 따라 마감될 예정입니다. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities, Wells Fargo Securities가 공동 주관사로 참여합니다.
HP Inc. (NYSE: HPQ) a annoncé le prix d'une émission d'obligations senior non garanties d'un milliard de dollars, divisée en deux tranches : 500 millions de dollars d'obligations à 5,400% arrivant à échéance en 2030 au prix de 99,732% du montant principal, et 500 millions de dollars d'obligations à 6,100% arrivant à échéance en 2035 au prix de 99,778% du montant principal.
La société prévoit d'utiliser les fonds pour des besoins généraux d'entreprise, y compris le remboursement éventuel de ses obligations à 2,200% arrivant à échéance en juin 2025. L'émission devrait se clôturer le 25 avril 2025, sous réserve des conditions habituelles. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities et Wells Fargo Securities agissent en tant que gestionnaires conjoints de l'offre.
HP Inc. (NYSE: HPQ) hat die Preisfestsetzung für eine Emission von ungesicherten Senior-Anleihen in Höhe von 1 Milliarde US-Dollar bekanntgegeben, aufgeteilt in zwei Tranchen: 500 Millionen US-Dollar 5,400% Anleihen mit Fälligkeit 2030 zu 99,732% des Nennwerts und 500 Millionen US-Dollar 6,100% Anleihen mit Fälligkeit 2035 zu 99,778% des Nennwerts.
Das Unternehmen plant, die Erlöse für allgemeine Unternehmenszwecke zu verwenden, einschließlich einer möglichen Rückzahlung seiner 2,200% Anleihen, die im Juni 2025 fällig werden. Die Emission soll am 25. April 2025 unter üblichen Bedingungen abgeschlossen werden. BNP Paribas Securities, BofA Securities, Goldman Sachs, J.P. Morgan Securities und Wells Fargo Securities fungieren als gemeinsame Bookrunner.
- Successful $1 billion debt offering indicates strong market confidence
- Strategic debt management through refinancing of upcoming 2025 notes
- Competitive interest rates secured in current market conditions
- Increased long-term debt obligations
- Higher interest rates on new notes compared to 2.200% notes being refinanced
Insights
HP's $1 billion senior notes offering represents a significant debt management move with both strategic implications and cost considerations. The company is issuing $500 million in 5.400% notes due 2030 and $500 million in 6.100% notes due 2035, with the explicit intention of potentially refinancing existing debt, including their 2.200% notes due June 2025.
This transaction highlights HP's proactive approach to liability management. By addressing upcoming maturities well in advance, the company is reducing refinancing risk. However, the higher interest rates on the new issuances (5.400% and 6.100% compared to the maturing 2.200% notes) will increase HP's interest expense, creating a headwind for future earnings.
The pricing of both note tranches at just below par value (99.732% and 99.778% respectively) indicates reasonable market demand for HP's debt. For a company with a $22.7 billion market capitalization, this $1 billion issuance represents approximately 4.4% of its market value.
The successful pricing and the involvement of major financial institutions as joint book-running managers (BNP Paribas, BofA Securities, Goldman Sachs, J.P. Morgan, and Wells Fargo) demonstrate investor confidence in HP's long-term financial stability and ability to service this debt through 2035, despite the higher interest rate environment compared to when the 2025 notes were issued.
PALO ALTO, Calif., April 14, 2025 (GLOBE NEWSWIRE) -- HP Inc. (NYSE: HPQ) today announced the pricing of its underwritten public offering of
HP intends to use the net proceeds from the offering for general corporate purposes, which may include, without limitation, repayment and refinancing of debt (including the repayment of HP’s
The issuance of the Notes is expected to close on April 25, 2025, subject to customary closing conditions.
BNP Paribas Securities Corp., BofA Securities, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC and Wells Fargo Securities, LLC are acting as joint book-running managers for the offering.
The Notes are being offered pursuant to an effective shelf registration statement (including a prospectus) on Form S-3 previously filed with the Securities and Exchange Commission (the “SEC”). A preliminary prospectus supplement relating to the offering has been filed with the SEC and is available on the SEC’s website at www.sec.gov. Before you invest, you should read the prospectus in that registration statement (including the preliminary prospectus supplement for the offering to which this communication relates) and other documents HP has filed with the SEC for more complete information about HP and the offering. You may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, these documents may be obtained from BNP Paribas Securities, Corp. by calling toll-free at (800)-854-5674; or from BofA Securities, Inc. by calling toll-free at (800) 294-1322; or from Goldman Sachs & Co. LLC by calling toll-free at (866) 471-2526.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of the Notes in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful.
Forward-Looking Statements
This press release contains forward-looking statements based on current expectations and assumptions that involve risks and uncertainties, including, but not limited to, the statements regarding the offering of the Notes and the use of proceeds therefrom. These forward-looking statements are based on HP’s current expectations and beliefs concerning future developments and their potential effect on HP. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting HP will be those that we anticipate. Our forward-looking statements involve significant risks and uncertainties (some of which are beyond our control), including our ability to complete the offering of the Notes on favorable terms, if at all, and general market conditions that might affect the offering, and assumptions that could cause our actual results to differ materially from our historical experience and our present expectations. For additional information regarding known material risks, uncertainties and other factors that can affect future results, please see our filings with the SEC, including the Annual Report on Form 10-K for the fiscal year ended October 31, 2024 and Quarterly Report on Form 10-Q for the fiscal quarter ended January 31, 2025, and other risks that are otherwise described or updated from time to time in HP’s other filings with the SEC. The forward-looking statements in this press release are made as of the date of this document and HP assumes no obligation and does not intend to update these forward-looking statements.
HP’s Investor Relations website at investor.hp.com contains a significant amount of information about HP, including financial and other information for investors. HP encourages investors to visit its website from time to time, as information is updated, and new information is posted. The content of HP’s website is not incorporated by reference into this press release or in any other report or document HP files with the SEC, and any references to HP’s website are intended to be inactive textual references only.
About HP
HP Inc. (NYSE: HPQ) is a global technology leader and creator of solutions that enable people to bring their ideas to life and connect to the things that matter most. Operating in more than 170 countries, HP delivers a wide range of innovative and sustainable devices, services and subscriptions for personal computing, printing, 3D printing, hybrid work, gaming, and more.
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