Resideo Announces Offering Of Senior Unsecured Notes
Resideo Technologies (NYSE:REZI) has announced the commencement of a private offering of $300 million in Senior Notes due 2029. The proceeds will be used to redeem outstanding 6.125% Senior Notes due 2026, totaling $260 million, and for general corporate purposes. The offering is targeted at qualified institutional buyers under Rule 144A and will not be registered under the Securities Act. This move reflects Resideo's strategy to manage its debt effectively as it continues its operations in the technology-driven products market.
- Commencement of a $300 million private offering of Senior Notes indicates proactive financial management.
- Proceeds are aimed at redeeming $260 million in higher-interest Senior Notes due 2026, potentially lowering interest expenses.
- The offering of notes may indicate liquidity concerns or a need for refinancing amid uncertain market conditions.
- Uncertainty surrounding market conditions and completion of the offering could affect investor confidence.
AUSTIN, Texas, Aug. 9, 2021 /PRNewswire/ -- Resideo Technologies, Inc. (NYSE:REZI) (the "Company" or "Resideo") today announced that Resideo Funding Inc. (the "Issuer"), a direct wholly-owned subsidiary of the Company, has commenced a private offering of
The Company intends to use the proceeds from the sale of the Notes to fund the redemption of all of the Issuer's outstanding
The notes are being offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and outside the United States, only to non-U.S. investors pursuant to Regulation S. The Notes and the related guarantees will not be registered under the Securities Act or any state securities laws and, unless so registered, may not be offered or sold except pursuant to an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, the Notes, the related guarantees or any other security, and shall not constitute an offer, solicitation or sale of any securities in any state or jurisdiction in which, or to any persons to whom, such offering, solicitation or sale would be unlawful. This press release does not constitute a notice of redemption for the 2026 Notes nor any solicitation of an offer to buy or sell the 2026 Notes.
About Resideo
Resideo is a leading global manufacturer and distributor of technology-driven products and solutions that provide comfort, security, energy efficiency and control to customers worldwide. Building on a 130-year heritage, Resideo has a presence in more than 150 million homes, with 15 million systems installed in homes each year. We continue to serve more than 110,000 professionals through leading distributors, including our ADI Global Distribution business, which exports to more than 100 countries from nearly 200 stocking locations around the world.
Forward-Looking Statements
This release contains "forward-looking statements," including statements relating to the proposed offering and the anticipated use of the net proceeds from the offering. All statements, other than statements of fact, that address activities, events or developments that we or our management intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. Although we believe forward-looking statements are based upon reasonable assumptions, such statements involve known and unknown risks, uncertainties, and other factors, which may cause the actual results or performance of Resideo to be materially different from any future results or performance expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to, risks and uncertainties related to the completion of the offering of the Notes on the anticipated terms or at all, applicable market conditions, the satisfaction of customary closing conditions related to the offering, general economic, industry or political conditions, including the impact of the COVID-19 pandemic, and the other risks described under the headings "Risk Factors" and "Cautionary Statement Concerning Forward-Looking Statements" in our Annual Report on Form 10-K for the year ended December 31, 2020, our Quarterly Reports on Form 10-Q for the quarters ended April 3, 2021 and July 3, 2021 and other periodic filings we make from time to time with the Securities and Exchange Commission. You are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by our forward-looking statements. Except as required by law, we undertake no obligation to update such statements to reflect events or circumstances arising after the date of this press release, and we caution investors not to place undue reliance on any such forward-looking statements.
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Jason Willey | Oliver Clark |
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SOURCE Resideo Technologies, Inc.
FAQ
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