Tyson Foods, Inc. has announced the pricing of its senior notes offerings, with the company set to sell $600 million aggregate principal amount of its 5.400% senior notes due 2029 and $900 million aggregate principal amount of its 5.700% senior notes due 2034. The offerings are expected to close on March 8, 2024, subject to the satisfaction of customary closing conditions.
The company intends to utilize the net proceeds from the offerings for general corporate purposes, including the retirement of the outstanding 3.95% notes due August 2024. Pending application of the proceeds, the company plans to use the funds to pay down other outstanding debt, which may include amounts under its revolving credit facility or its commercial paper program, and/or invest the proceeds in bank deposit accounts, certificates of deposit, U.S. government securities, or other interest-bearing securities.
The offerings are being underwritten by a group of firms, including BofA Securities, Inc., Morgan Stanley & Co. LLC, Rabo Securities USA, Inc., RBC Capital Markets, LLC, and J.P. Morgan Securities LLC, among others.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities, in any state or 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 jurisdiction. The market reacted to these announcements by moving the company's shares -1.9% to a price of $53.2. For the full picture, make sure to review Tyson Foods's 8-K report.
