Rhea-AI Impact
Rhea-AI Sentiment
Rhea-AI Summary
Newell Brands (NASDAQ: NWL) has announced the pricing of an upsized public offering of $750 million in 6.375% notes due 2030 and $500 million in 6.625% notes due 2032. The offering is expected to close on November 13, 2024. The company plans to use the proceeds to redeem its outstanding 4.875% senior notes due 2025 and partially redeem its 4.200% senior notes due 2026. The offering is being made under an effective shelf registration statement, with multiple financial institutions serving as joint book-running managers.
Newell Brands (NASDAQ: NWL) ha annunciato il prezzo di un’offerta pubblica aumentata di 750 milioni di dollari in note al 6,375% con scadenza nel 2030 e 500 milioni di dollari in note al 6,625% con scadenza nel 2032. Si prevede che l’offerta si concluda il 13 novembre 2024. L’azienda prevede di utilizzare i proventi per riscattare le proprie note senior al 4,875% in scadenza nel 2025 e per riscattare parzialmente le note senior al 4,200% in scadenza nel 2026. L’offerta è effettuata ai sensi di una dichiarazione di registrazione shelf efficace, con molteplici istituzioni finanziarie che fungono da gestori principali.
Newell Brands (NASDAQ: NWL) ha anunciado la fijación de precios de una oferta pública aumentada de 750 millones de dólares en notas al 6.375% con vencimiento en 2030 y 500 millones de dólares en notas al 6.625% con vencimiento en 2032. Se espera que la oferta se cierre el 13 de noviembre de 2024. La empresa planea utilizar los ingresos para redimir sus notas senior del 4.875% con vencimiento en 2025 y redimir parcialmente sus notas senior del 4.200% con vencimiento en 2026. La oferta se realiza bajo una declaración de registro shelf efectiva, con varias instituciones financieras actuando como gerentes conjuntos de libros.
뉴웰 브랜드스 (NASDAQ: NWL)는 2030년 만기 6.375% 채권 7억 5천만 달러와 2032년 만기 6.625% 채권 5억 달러에 대한 공모가를 발표했습니다. 이번 공모는 2024년 11월 13일에 마감될 예정입니다. 회사는 수익금을 사용하여 2025년 만기 4.875% 자산을 상환하고 2026년 만기 4.200% 자산을 부분 상환할 계획입니다. 이번 공모는 유효한 선등록 서류에 따라 진행되며, 여러 금융 기관이 공동 주관 매니저로 활동합니다.
Newell Brands (NASDAQ: NWL) a annoncé la tarification d’une offre publique augmentée de 750 millions de dollars en obligations à 6,375% arrivant à échéance en 2030 et de 500 millions de dollars en obligations à 6,625% arrivant à échéance en 2032. L’offre devrait se clôturer le 13 novembre 2024. L’entreprise prévoit d’utiliser les produits pour racheter ses obligations senior à 4,875% arrivant à échéance en 2025 et pour racheter partiellement ses obligations senior à 4,200% arrivant à échéance en 2026. L’offre est effectuée en vertu d’un document d’enregistrement shelf efficace, plusieurs institutions financières servant de gestionnaires de livres associés.
Newell Brands (NASDAQ: NWL) hat die Preisgestaltung für ein vergrößertes öffentliches Angebot von 750 Millionen Dollar in Anleihen mit 6,375% Fälligkeit 2030 und 500 Millionen Dollar in Anleihen mit 6,625% Fälligkeit 2032 bekannt gegeben. Es wird erwartet, dass das Angebot am 13. November 2024 abgeschlossen wird. Das Unternehmen plant, die Erlöse zu verwenden, um seine ausstehenden Senior-Anleihen mit 4,875% Fälligkeit 2025 zurückzuzahlen und teilweise Senior-Anleihen mit 4,200% Fälligkeit 2026 zurückzuzahlen. Das Angebot erfolgt unter einer wirksamen Shelf-Registrierungsanmeldung, wobei mehrere Finanzinstitute als gemeinsame Buchführer fungieren.
Positive
- Successfully secured $1.25 billion in total debt financing
- Debt restructuring extends maturity dates from 2025/2026 to 2030/2032
Negative
- Higher interest rates on new notes (6.375% and 6.625%) compared to existing notes (4.875% and 4.200%)
- Increased interest expense will impact future cash flows
Insights
This debt refinancing represents a strategic move by Newell Brands to manage its debt structure, though at a higher cost. The new notes carrying 6.375% and 6.625% interest rates will replace existing notes with lower rates of 4.875% and 4.200%, reflecting the current higher interest rate environment. The total offering of $1.25 billion demonstrates strong market access but will increase interest expenses.
The transaction provides improved debt maturity profile by extending obligations from 2025/2026 to 2030/2032, enhancing financial flexibility. However, the higher interest rates will impact profitability and cash flow. For a company with a $3.7 billion market cap, this refinancing represents a significant portion of their capital structure and will affect their cost of capital going forward.
ATLANTA–(BUSINESS WIRE)– Newell Brands (NASDAQ: NWL) today announced the launch and pricing of an upsized public offering of $750 million aggregate principal amount of 6.375% notes due 2030 (the “2030 Notes”) and $500 million aggregate principal amount of 6.625% notes due 2032 (the “2032 Notes” and, together with the 2030 Notes, the “Notes”). The offering of the Notes is expected to close on November 13, 2024, subject to customary closing conditions.
Newell Brands intends to use the net proceeds from the offering of the Notes to redeem in full its outstanding 4.875% senior notes due 2025 (the “2025 Notes”) and to redeem in part its outstanding 4.200% senior notes due 2026 (the “2026 Notes”).
On October 29, 2024, Newell Brands instructed the trustee of the 2025 Notes and the 2026 Notes to deliver (i) to the holders of the 2025 Notes, a conditional notice to redeem in full the outstanding 2025 Notes and (ii) to the holders of the 2026 Notes, a conditional notice to partially redeem the outstanding 2026 Notes (collectively, the “redemptions”). Each of the redemptions will be an election to effect an optional redemption, conditioned on the consummation of the offering of the Notes or an alternative debt financing satisfactory to Newell Brands and that provides net proceeds sufficient to pay the applicable redemption price for such series of notes and all fees and expenses thereto. Neither this press release nor anything contained herein shall constitute a notice of redemption or an offer to redeem or purchase any of the outstanding 2025 Notes or the 2026 Notes.
J.P. Morgan Securities LLC, Goldman Sachs & Co. LLC, BofA Securities, Inc., Citigroup Global Markets Inc., HSBC Securities (USA) Inc., Wells Fargo Securities, LLC and RBC Capital Markets, LLC are serving as the joint book-running managers for the offering. Barclays Capital Inc., UBS Securities LLC, PNC Capital Markets LLC, ING Financial Markets LLC, Siebert Williams Shank & Co., LLC and U.S. Bancorp Investments, Inc. are serving as the co-managers for the offering of the Notes.
The offering of the Notes is being made under an effective shelf registration statement on Form S-3 (Registration No. 333-279561) filed by Newell Brands with the Securities and Exchange Commission (“SEC”) on May 20, 2024 (effective on May 31, 2024) and only by means of a prospectus supplement and accompanying prospectus. A preliminary prospectus supplement and an issuer free writing prospectus have been filed and a prospectus supplement relating to the offering of the Notes will be filed, with the SEC, to which this communication relates. Prospective investors should read the issuer free writing prospectus, preliminary prospectus supplement and the accompanying prospectus included in the registration statement and other documents Newell Brands has filed with the SEC for more complete information about Newell Brands and the offering. These documents are available at no charge by visiting EDGAR on the SEC website at http://www.sec.gov. Alternatively, the prospectus and the prospectus supplement may be obtained by contacting J.P. Morgan Securities LLC at (866) 803-9204.
This communication is neither an offer to sell nor a solicitation of an offer to buy the securities described herein, nor shall there be any offer, solicitation or sale of these securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction. The offering of these securities will be made only by means of the applicable prospectus supplement and the accompanying prospectus. The securities being offered have not been approved or disapproved by any regulatory authority, nor has any such authority passed upon the accuracy or adequacy of the registration statement, the prospectus contained therein or the applicable prospectus supplement.
About Newell Brands
Newell Brands (NASDAQ: NWL) is a leading global consumer goods company with a strong portfolio of well-known brands, including Rubbermaid, Sharpie, Graco, Coleman, Rubbermaid Commercial Products, Yankee Candle, Paper Mate, FoodSaver, Dymo, EXPO, Elmer’s, Oster, NUK, Spontex and Campingaz. Newell Brands is focused on delighting consumers by lighting up everyday moments.
Forward-Looking Statements
Some of the statements in this press release, particularly those relating to the offering of the Notes and the use of proceeds therefrom are forward-looking statements within the meaning of the Federal securities laws. Actual results could differ materially from expectations expressed or implied in the forward-looking statements if one or more of the underlying assumptions or expectations prove to be inaccurate or are unrealized. Important factors that could cause actual results to differ materially from such expectations are and will be detailed in the company’s filings with the SEC, including but not limited to its Annual Report on Form 10-K for the year ended December 31, 2023 and its Quarterly Reports on Form 10-Q for the quarters ended March 31, 2024, June 30, 2024 and September 30, 2024.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241029740372/en/
Investors:
Joanne Freiberger
VP, Investor Relations
+1 (727) 947-0891
joanne.freiberger@newellco.com
Media:
Beth Stellato
Chief Communications Officer
+1 (470) 580-1086
Source: Newell Brands
FAQ
What is the size and interest rate of Newell Brands (NWL) 2030 notes offering?
Newell Brands’ 2030 notes offering is $750 million with a 6.375% interest rate.
What is the size and interest rate of Newell Brands (NWL) 2032 notes offering?
Newell Brands’ 2032 notes offering is $500 million with a 6.625% interest rate.
When will Newell Brands (NWL) new notes offering close?
The notes offering is expected to close on November 13, 2024.
How will Newell Brands (NWL) use the proceeds from the notes offering?
Newell Brands will use the proceeds to fully redeem its 4.875% notes due 2025 and partially redeem its 4.200% notes due 2026.
