Northrop Grumman Corporation (NYSE: NOC) has announced a $1.0 billion underwritten public offering of senior unsecured notes, consisting of $500 million of 4.650% senior notes due 2030 and $500 million of 5.250% senior notes due 2035. The company expects to use the net proceeds for general corporate purposes, including debt repayment, share repurchases, and working capital.
The offering is expected to close on May 29, 2025, subject to the satisfaction of customary closing conditions. The securities are being offered pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission.
Northrop Grumman's 7.875% and 7.750% senior notes due 2026 will be included in the debt repayment, reflecting the company's strategic financial planning. This move could potentially impact its future interest expenses and debt maturity profile.
As a leading global aerospace and defense technology company, Northrop Grumman aims to equip its customers with the capabilities they need to connect and protect the world, and push the boundaries of human exploration across the universe. The company's focus on solving its customers' toughest problems demonstrates its commitment to innovation and excellence in the industry. As a result of these announcements, the company's shares have moved 0.85% on the market, and are now trading at a price of $475.47. If you want to know more, read the company's complete 8-K report here.
