Service Corporation International Announces Senior Notes Offering

Rhea-AI Summary

Service Corporation International (NYSE: SCI) plans to offer $850 million in senior notes through a public offering, pending market conditions. The proceeds will be used to repurchase $850 million of existing senior notes due 2024 and to cover related fees. BofA Securities will lead the offering. The press release includes cautionary forward-looking statements regarding potential risks affecting future results. SCI operates 1,472 funeral service locations and 483 cemeteries across North America, under the Dignity Memorial® brand.

Positive

• Offering of $850 million in senior notes indicates strong market confidence.
• Use of proceeds for repurchasing existing senior notes may improve financial standing.

Negative

• None.

HOUSTON, Aug. 3, 2020 /PRNewswire/ -- Service Corporation International (NYSE: SCI) (the "Company") announces that it intends to offer $850 million aggregate principal amount of senior notes, subject to market and other conditions. The offering will be made by means of an underwritten public offering pursuant to an effective shelf registration statement filed with the Securities and Exchange Commission (the "SEC"). The Company will use net proceeds from the offering, together with cash on hand, to repurchase its $850 million 5.375% Senior Notes due 2024 (the "Existing Notes") pursuant to a concurrent tender offer, and pay related fees and expenses.

BofA Securities will act as the lead joint book-running manager for the offering.

The offering may be made only by means of a prospectus supplement and accompanying base prospectus. The prospectus supplement will be filed with the SEC and may be found on its website at www.sec.gov. When available, copies of the prospectus supplement relating to the public offering may be obtained from:

BofA Securities 
Attention: Prospectus Department 
NC1-004-03-43 
200 North College Street, 3^rd Floor 
Charlotte, North Carolina 28255-0001  
Telephone: (800) 294-1322 
Email:  dg.prospectus_requests@bofa.com

This press release does not constitute an offer to sell or purchase, nor the solicitation of an offer to buy or an offer to sell, the securities described herein, including the Existing Notes that are subject to the concurrent tender offer, nor shall there be any sale or purchase of such securities in any state in which such offer, solicitation, purchase or sale would be unlawful.

Cautionary Statement on Forward-Looking Statements

The statements in this press release that are not historical facts are forward-looking statements made in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995. These statements may be accompanied by words such as "believe", "estimate", "project", "expect", "anticipate", or "predict" that convey the uncertainty of future events or outcomes. These statements are based on assumptions that we believe are reasonable; however, many important factors could cause our actual consolidated results in the future to differ materially from the forward-looking statements made herein and in any other documents or oral presentations made by, or on behalf of, the Company.

For further information on these and other risks and uncertainties, see our SEC filings, including our 2019 Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2020 and June 30, 2020. Copies of this document as well as other SEC filings can be obtained from our website at www.sci-corp.com. We assume no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made by us, whether as a result of new information, future events or otherwise.

About Service Corporation International

Service Corporation International (NYSE: SCI), headquartered in Houston, Texas, is North America's leading provider of deathcare products and services.  At June 30, 2020, we owned and operated 1,472 funeral service locations and 483 cemeteries (of which 296 are combination locations) in 44 states, eight Canadian provinces, the District of Columbia, and Puerto Rico.  Through our businesses, we market the Dignity Memorial® brand which offers assurance of quality, value, caring service, and exceptional customer satisfaction.

 

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SOURCE Service Corporation International

FAQ

What is Service Corporation International's recent financial offering?

Service Corporation International intends to offer $850 million in senior notes.

What will the proceeds from the SCI notes offering be used for?

The proceeds will be used to repurchase existing senior notes and cover related fees.

When is the SCI senior notes offering scheduled?

The offering is subject to market conditions and does not have a specific date mentioned.

Who is managing the SCI senior notes offering?

BofA Securities is the lead joint book-running manager for the offering.

What risks are associated with SCI's forward-looking statements?

The company cautions that actual results may differ materially due to various important factors.