U-Haul Holding Company (NYSE: UHAL, UHAL.B) has announced the issuance of $500 million of fixed-rate senior unsecured notes in a private placement offering. The weighted average interest rate of the notes stands at 5.94% as of the issuance date.
The senior notes consist of four tranches, with three totaling $100 million each and another for $200 million. The Series A 5.86% Senior Notes are due on August 21, 2032, the Series B 5.91% Senior Notes are due on August 21, 2033, the Series C 5.95% Senior Notes are due on August 21, 2034, and the Series D 6.00% Senior Notes are due on August 21, 2035.
In fiscal 2022, U-Haul entered into its first two private placements to provide fixed cost capital for the growth of new locations. The latest issuance of $500 million in senior unsecured notes aims to further support the expansion of the program.
U-Haul Holding Company is the parent company of U-Haul International, Inc., Oxford Life Insurance Company, Repwest Insurance Company, and Amerco Real Estate Company. U-Haul has been the top choice for do-it-yourself movers since 1945, with a network of over 23,000 locations across all 50 states and 10 Canadian provinces. Additionally, U-Haul operates the third largest self-storage business in North America, offering 1,024,000 rentable storage units and 88.5 million square feet of self-storage space at owned and managed facilities. U-Haul is also the largest retailer of propane in the U.S. and the leading installer of permanent trailer hitches in the automotive aftermarket industry. Following these announcements, the company's shares moved -0.3%, and are now trading at a price of $69.52. Check out the company's full 8-K submission here.
