Tenneco Announces Closing of Notes Offering
Tenneco has successfully completed its offering of $500 million in 7.875% Senior Secured Notes due 2029. These notes are backed by guarantees from Tenneco's subsidiaries and secured by first priority interests in the company’s assets. The proceeds will be used to redeem all outstanding 4.875% Senior Secured Notes due 2022 on December 14, 2020. Notably, these notes are not registered under the Securities Act and were sold to qualified institutional buyers and non-U.S. persons. Tenneco reported $17.5 billion in revenue for 2019.
- Completion of $500 million notes offering strengthens financial position.
- Proceeds will be utilized to redeem higher-interest 2022 Notes, reducing future interest payments.
- None.
LAKE FOREST, Ill., Nov. 30, 2020 /PRNewswire/ -- Tenneco Inc. (NYSE: TEN) ("Tenneco") today announced that it has completed its previously announced notes offering (the "Offering") of
The Notes are guaranteed by each of Tenneco's subsidiaries that guarantees its credit facility and outstanding notes. The Notes and the subsidiary guarantees are secured by first priority security interests in substantially all of Tenneco's and the subsidiary guarantors' assets, subject to certain excluded assets, exceptions and permitted liens, which security interests rank equally with the security interests securing its credit facility and outstanding secured notes.
Tenneco intends to use the net proceeds of the Offering, together with available cash, to redeem all of its outstanding
The Notes and the related guarantees are not registered under the Securities Act of 1933, as amended (the "Securities Act") or any state securities laws, and may not be offered or sold in the United States or to U.S. persons absent registration or an applicable exemption from such registration requirements. Accordingly, the Notes and the related guarantees were offered and sold only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act and to non-U.S. persons in offshore transactions outside the United States in accordance with Regulation S under the Securities Act.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, the Notes in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About Tenneco
Tenneco is one of the world's leading designers, manufacturers and marketers of automotive products for original equipment and aftermarket customers, with 2019 revenues of
Cautionary Note Regarding Forward-Looking Statements
The disclosures herein concerning the Offering and the use of net proceeds of the Offering include statements that are "forward looking" within the meaning of federal securities law. The forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements.
Investor inquiries
Linae Golla
847 482-5162
lgolla@tenneco.com
Rich Kwas
248-849-1340
rich.kwas@tenneco.com
Media inquiries
Bill Dawson
847 482-5807
bdawson@tenneco.com
View original content to download multimedia:http://www.prnewswire.com/news-releases/tenneco-announces-closing-of-notes-offering-301181704.html
SOURCE Tenneco Inc.
FAQ
What is the amount and interest rate of Tenneco's notes offering?
When is Tenneco redeeming its 4.875% Senior Secured Notes?
What will Tenneco do with the proceeds from the notes offering?
Who guarantees the new Senior Secured Notes issued by Tenneco?
Are Tenneco's new notes registered under the Securities Act?
