Amcor Plc (NYSE:AMCR; ASX:AMC) has announced the pricing of a private offering of guaranteed senior notes in an aggregate principal amount of $2.2 billion. The offering consists of three tranches: $725,000,000 principal amount of 4.800% guaranteed senior notes due 2028, $725,000,000 principal amount of 5.100% guaranteed senior notes due 2030, and $750,000,000 principal amount of 5.500% guaranteed senior notes due 2035.
The net proceeds from the offering will be used to repay certain existing indebtedness of Berry Global Group, Inc. in connection with the closing of Amcor’s previously announced merger with Berry.
The notes will be subject to a special mandatory redemption if the merger is not consummated by a specified date. The offering is expected to close on March 17, 2025, subject to customary closing conditions.
The notes and the guarantees have not been registered under the Securities Act of 1933 and are being offered and sold in the United States only to qualified institutional buyers and to certain non-U.S. persons.
In fiscal year 2024, Amcor generated $13.6 billion in annual sales from operations that span 212 locations in 40 countries.
This announcement does not constitute an offer to sell or purchase, or a solicitation of an offer to sell or purchase, the notes or any other security. No offer, solicitation, purchase, or sale will be made in any jurisdiction in which such an offer, solicitation, or sale would be unlawful. The market has reacted to these announcements by moving the company's shares -2.5% to a price of $9.68. If you want to know more, read the company's complete 8-K report here.
